Apparel firm Under Armour Inc. (UAA) has had some troubles in the past but now the charts have started to improve. Let's review the charts and indicators to see if this shift on the charts can continue.
In this daily bar chart of UAA, below, I can see that UAA has been making a bottom the past seven to eight months. Prices now the rising 50-day moving average line and above the still declining 200-day line. The trading volume histogram is mixed in my opinion but the daily On-Balance-Volume (OBV) line has clearly moved higher since early October. The Moving Average Convergence Divergence (MACD) oscillator is above the zero line but it has narrowed in recent days.
In this weekly Japanese candlestick chart of UAA, below, I can see a bigger base pattern than what is visible on a one year daily chart (above). Declines into the $8-$6 area have been bought since the middle of 2022. Prices are now trading above the 40-week moving average line. The trading volume is neutral but the weekly OBV line has been strong. The MACD oscillator has been improving and is just slightly below the zero line now.
In the daily Point and Figure chart of UAA, below, I can see that prices reached and exceeded a price target in the $8 area.
In this weekly Point and Figure chart of UAA, below, I used close only prices. Here the software suggests a price target in the $12 area.
Bottom line strategy: Traders could go long UAA in the $8.50 area risking to $7.50. The $12 area is my price target for now.
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