Sanmina SANM-Q traded in a horizontal trading range mostly between $23 and $35 from 2018 to 2020 (dashed lines), had a breakout in early-2021 (A) and then stayed in another range mostly between $35 and $44 (dotted lines).
The recent rise above the top of the second range (B) signalled a breakout and the resumption of the long-term uptrend (solid line).
Behaviour indicators including the rising 40-week Moving Average (40wMA) and the rising trendline confirm the bullish status. The stock is currently in the midst of a minor correction toward support near $46 for a good entry level. Only a sustained decline below $43-$44 would be negative.
Point & Figure measurements provide targets of $54 and $59. The large trading ranges (dashed and dotted lines) support higher targets.
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Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart source: www.decisionplus.com