High flyer Lululemon (LULU) surged over 20% the last seven days, but hit a resistance zone around 57 with a Dark Cloud pattern. Notice that this area also marks a 61.80% retracement of the July-August decline. A move below the gap at 53 would confirm the Dark Cloud pattern.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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