13Feb3:43 pmEST

Canada Goose was Loose

But now it is tightening up.

Canada Goose, a retail standout winner in an improving sector in recent months, sold off aggressively last week. A knee-jerk reaction may very well to caste the name aside indefinitely, favoring earnings winners instead. 

However, this may very well prove to be a buyable dip for GOOS, which had valiantly held onto its 50-day moving average, the dark blue on the daily chart for GOOS, below. 

We previously played the name on the long side for Members last month. And now we must decide if the water is safe to venture back in for a new setup. 

Simply put, if GOOS can keep holding that 50-day among market volatility it ought to be considered a win for bulls, especially given the steep prior uptrend--We know a pullback was inevitable and long overdue. 

The expensive winter jackets which GOOS sells have become rather chic, and that is not likely to abate anytime soon. Furthermore, if equity bulls can make a dent in the VIX and the retail sector resumes its improvement, GOOS still has many of the hallmarks of an emerging leader.

Elsewhere, today was largely a "less is more" day for me in terms of trading. Bulls are trying to calm things down but we are not out of the woods, quite yet, despite some impressive outperforming names. 

a

Slow and Steady Wins the Rac... Stock Market Recap 02/13/18 ...

 
BackToTop
 

This website is intended for educational purposes only. | © 2018 MarketChess.com | All Rights Reserved | Website design by Saco Design | Superpowered by Site Avenger

mobile site | full site