3 Stocks That Are Ready To Breakout… Or Is It Just The Makeup

Makeup and Beauty Stocks are all looking strong but at a cross roads. Is their natural beauty about to shine through or is it just lipstick on a pig? Take a look at these three names.

Avon Products, $AVP

Avon Products, $AVP gapped higher on a takeover bid from privately held Coty and has held the gap higher, despite finishing down 3% Monday. The previous high at 23.50 from October stopped things last week but a move above that creates a ‘gap and go’ with a target, much like a bull flag to 27. Losing the 22 support level changes that and starts the retracement of the gap lower.

Sally Beauty Holdings, $SBH

Sally Beauty Holdings, $SBH, is testing the early March high at 25.70 and recovered very well from a dip Monday. A move to a new high triggers a series of Measured Moves higher with the first two at 26.70 and 27.25. Watch the 20 day Simple Moving Average (SMA), also the middle of the Bollinger bands here, at 24.94 as a point where a breakdown could occur.

Ulta Salon Cosmetics & Fragrances, $ULTA

Ulta Salon Cosmetics & Fragrances, $ULTA, is consolidating at new highs building a bull flag between 92.50 and 95. A break of the flag higher has a Measured Move to 100 and a break down support at 87.50, just above the 50 day SMA.

If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

blog comments powered by Disqus
Dragonfly Caps Blog