Costco Wholesale may rise to 850.00 - 863.00

789 is our pivot point.

Our preference

The upside prevails as long as 789 is support.

Alternative scenario

The downside breakout of 789 would call for 770 and 758.

Comment

The RSI is trading above 70. This could mean that either the stock is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the stock is trading above both its 20 and 50 day moving average (respectively at 776.144 and 744.2878).

Supports and resistances

874 **

863 *

850 **

839

813.19 (USD-last)

797

789 **

770 *

758 **

Number of asterisks represents the strength of support and resistance levels.