Mapping the market: Costco has momentum to rally on
COST•Costco shares have risen about 20% since late September, and technical indicators suggest further gains could follow. Fibonacci projections point to potential targets near $1,100, $1,152 and $1,238, while a drop below $1,012 to $1,014 could undermine the bullish setup.
1. Potential rally targets
Costco shares have climbed about 20% since late September. Fibonacci projections point to a potential target just below $1,100, which is close to the all-time high of $1,096.50 reached in May, followed by possible targets of $1,152 and $1,238.
2. Momentum indicators
Bollinger Bands, the Relative Strength Index and MACD are all signaling that Costco shares could continue to rise. A fall below the $1,012 to $1,014 area would probably negate the bullish setup.
