Pattern Play LKQ Corporation
Upside breakout from a bullish pennant.
Share this:
LKQ Corporation (LKQ), a leading global distributor of non-OEM (not the Original Equipment Manufacturer) automotive parts, broke out to the upside of a short-term bullish pennant on Tuesday, November 24th. The RSI is above its neutrality area of 50. The simple moving averages (SMA) are set-up in a bullish manner, with the 20-day SMA above the 50-day SMA and the 50-day SMA above the 200-day SMA. Price will likely consolidate above the upper trendline of the pattern before advancing towards the 2020 high of about 38.50. If price can breakout above 38.50, then price should advance towards 41.25, a level last reached in early 2018. On the other hand, if price falls below the upper trendline of the pattern, then traders should look to 33.25 for a bounce. If price fails to rebound off of 33.25 it would be a bearish signal that could send price tumbling back to 29.50.
Source: GAIN Capital, TradingView
Source: GAIN Capital, TradingView
LKQ Corporation (LKQ), a leading global distributor of non-OEM (not the Original Equipment Manufacturer) automotive parts, broke out to the upside of a short-term bullish pennant on Tuesday, November 24th. The RSI is above its neutrality area of 50. The simple moving averages (SMA) are set-up in a bullish manner, with the 20-day SMA above the 50-day SMA and the 50-day SMA above the 200-day SMA. Price will likely consolidate above the upper trendline of the pattern before advancing towards the 2020 high of about 38.50. If price can breakout above 38.50, then price should advance towards 41.25, a level last reached in early 2018. On the other hand, if price falls below the upper trendline of the pattern, then traders should look to 33.25 for a bounce. If price fails to rebound off of 33.25 it would be a bearish signal that could send price tumbling back to 29.50.
Source: GAIN Capital, TradingView
Source: GAIN Capital, TradingView
Related tags:
Open an account in minutes
Experience award-winning platforms with fast and secure execution, and enjoy tight spreads from 0.5 pts on FX and 0.3 pts on indices.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
NZD/USD pressure mounts as payrolls looms large
NZD/USD has fallen sharply as Fed rate expectations reset higher, but extreme downside stretch and major support raise the risk of a violent counter-trend rebound.
US Core PCE Preview: Stale or Significant for the Fed
Core PCE inflation takes center stage Wednesday, with traders watching for signs of renewed price pressure and clues on whether the Fed could hike again in October.
Australian Dollar Forecast: AUD/USD Four-Week Slide Nears Critical Uptrend Support 9 29 2026
Aussie momentum has deteriorated sharply into quarter-end, with inflation, Core PCE and NFP on tap as AUD/USD closes in on a pivotal technical threshold.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.forex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.