Reckon You Can't Underestimate the People of Walmart

Walmart is surging more than 9% this morning after they reported quarterly earnings and sales that topped analysts' expectations. 

For a good while, many a retail analyst and market pundit has struck an effete, condescending tone regarding the controversial "Amazon-eats-the-world" mindset which we have poked holes in many times on this site. 

And when WMT rallying sharply this morning it is important to acknowledge the long-term chart, too, in order for this blog post to accomplish something beyond worshipping at the altar of Sam Walton and his iconic empire. 

Simply put, the WMT monthly chart, below, is exactly what a long-term bull would want to see--Quite a bit of negative sentiment over the years drowned out by strong price action. Note how each pullback simply held right where it needed to technically (the most recent one holding the "diamond" pattern prior breakout point, highlighted in light blue).

Furthermore, the initial breakout this century, back in 2011/2012 (which, if you followed my work back then you know we were rather keen on) remains very much intact. 

Walmart may very well have taken some time adjust to the modern era of retail. But there is no denying the durability of its brand and capabilities of scaling on a global level. Despite the hoopla surrounding Amazon, much of which has been earned by Jeff Bezos fairly and squarely, we ought not underestimate WMT again, as a run to fresh highs over $110 now appears to be more likely than not.