In this week's Technical Analysis 101, Kate Stalter of Better Money Decisions breaks down consolidation and breakouts to help you improve your charting skills.
Kate discusses a technical analysis chart concept called “consolidation,” which is frequently referenced in both Wall Street’s Best Stocks and Wall Street’s Best ETFs. She breaks down what consolidation looks like on a weekly chart vs. a daily chart, distinguishes between high-volume selling and normal profit-taking and explores what an upside breakout looks like.
Lastly, Kate highlights the importance of looking at consolidation in already fundamentally and technically strong stocks. The stocks featured in this discussion Crocs Inc. (CROX) and Fox Factory Holding Corp. (FOXF) are not recommendations and are featured for illustrative purposes only.
Learn more about Kate Stalter here.