Facebook (FB) has been on a roll for a very long time. If you’re into looking a stock’s technical trends, then the breakout from a previous resistance point for Facebook should be of interest to you. The company beat both high and low earning estimates a couple weeks ago. This propelled the stock higher along with a light rally in the overall market. Checkout the chart below.
Last week the GAP (GPS) reported an increase in June’s same-store monthly sales of 2%. This reversed a year long trend of reductions in monthly sales. As a result, the stock jumped nearly 5% from where it opened on Thursday to where it closed on Friday. Since early May, the GAP has being trending up, which is a much different picture from what the stock has shown for a long while.
Based on a brief technical analysis (illustrated in the chart below), if the overall market does not does not break to the negative, it would not be surprising to see the GAP continue to ‘melt up’ in the coming months.
Today saw an impressive positive surge in the S&P 500. It was significant because it put the market back at a peak it had not reached since over one year ago. This very positive news from a technical perspective and may lead to more buyers returning to the market in anticipation of new highs being set.
The chart below illustrates the breakout seen today from prior highs.