WFM has been in consolidation for several months, beginning with the large gap down on earnings back in May.
On earnings this time price gapped up out of the consolidation zone, on higher volume. On the daily chart there is no resistance until 47.70, the bar was very bullish and closed above the 200ma. Initially this may look like a good near term opportunity.
But on the weekly there could be earlier resistance at the 50ma ($45.42 zone). Plus today NFP is announced. In recent times NFP has not has the impact on the markets it has had in the past, but it still makes sense to stay out of the market for a day or two leading up to it. A small price to pay to preserve capital.
On earnings this time price gapped up out of the consolidation zone, on higher volume. On the daily chart there is no resistance until 47.70, the bar was very bullish and closed above the 200ma. Initially this may look like a good near term opportunity.
But on the weekly there could be earlier resistance at the 50ma ($45.42 zone). Plus today NFP is announced. In recent times NFP has not has the impact on the markets it has had in the past, but it still makes sense to stay out of the market for a day or two leading up to it. A small price to pay to preserve capital.