From a chartist's point of view, on a daily chart, CarMax's stock price has been rising inside of an ascending wedge pattern that began to form in mid-March. Price has been holding against the upper trend line for the last three trading days making higher lows, a bullish signal. The RSI has been rising since late-March and is currently holding above 60 after a slight pull back from overbought territory last week. Price is anticipated to continue advancing towards the record high at $103.00 and the uptrend to continue. If price breaks below the lower trend line then price will likely make its way back down to the $86.00 level on the 200-day moving average. If price cannot find support at the $86.00 level then we could see the beginning of a bearish market structure forming, which could send price back down to $78.00.
Source: GAIN Capital, TradingView
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