TJX Companies Inc. (Friday’s close $59.18) traded in a horizontal trading range mostly between $33.50 and $41.50 from 2016 to 2017 (dashed lines), had a breakout in 2018 to a high of $56.61 (A) and pulled back to $41.50 (former resistance from 2016-17 – B). Subsequently, the stock rallied back toward the 2018 high, but remained below ±$57.50 (dotted line).
TJX rallied above resistance recently (C), to signal the resumption of the long-term up-trend (solid line).
Behaviour indicators including the rising 40-week Moving Average (40wMA) and the rising trend-line (solid line) confirm the bullish status. There is good support at ±$55; only a sustained decline below ±$54 would be negative.
Point & Figure measurements provide targets of $69 and $74. Higher targets are visible.
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Monica Rizk is the senior Technical Analyst and Ron Meisels is the president of Phases & Cycles Inc. (www.phases-cycles.com). And he tweets at @Ronsbriefs. They may hold shares in companies profiled.
Chart source: www.decisionplus.com