Whole Foods Market
Nearest Resistance: $47.50
Nearest Support: $40
Catalyst: Technical Setup
After crashing at the beginning of May, shares of Whole Foods Market (WFM) are starting to show signs of a rebound. And today, shares are following up a breakout on high trading volume. For the last month, WFM has been forming a rounding bottom, a reversal setup that indicates a gradual change in control from sellers to buyers; yesterday's move through $40 was the trigger that means buyers are finally in control.
From here, WFM looks likely to fill the gap it made when it fell hard on earnings and guidance numbers a month ago. The next resistance level at $47.50 leaves a lot of potential upside in shares as I write.