Walmart (WMT) shares were slightly higher Wednesday morning after hitting a new record high yesterday following a 澳洲幸运5官方开奖结果体彩网:strong earnings report from the retail giant.

During the 澳洲幸运5官方开奖结果体彩网:earnings call, CEO Douglas McMillon told analysts that the retailer continues to capture market share gains from 澳洲幸运5官方开奖结果体彩网:higher-income households, adding that he expects the trend to last as these consumers have embraced the company’s 澳洲幸运5官方开奖结果体彩网:membership program and same-day delivery service.

Walmart shares inched higher to around $87 in recent trading, after hitting an all-time high of $88.29 on Tuesday. The stock has gained 65% since the start of the year, handily outpacing the 澳洲幸运5官方开奖结果体彩网:S&P 500’s 23% return over the same period.

Below, we break down the 澳洲幸运5官方开奖结果体彩网:technicals on Walmart’s chart and i♌dentify important post-earnings price levels that investors may be watching.

Shooting Star Signals Potential Reversal

After bottoming out just below the 澳洲幸运5官方开奖结果体彩网:200-day moving average in December last year, Walmart shares have tracked higher, with two 澳洲幸运5官方开奖结果体彩网:breakaway gaps separating three distinct trending moves.

Although the stock rallied to a new 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) on Tuesday, it closed near its opening price to form a 澳洲幸运5官方开奖结果体彩网:shooting star, a reversal 澳洲幸运5官方开奖结果体彩网:candlestick pattern, which comprises a small body with a l🎐ong upper shadow🐻 that appears after an extended uptrend.

It’s also worth pointing out that the shooting star pattern formed on the highest daily volume since late September, possibly indicating buying 澳洲幸运5官方开奖结果体彩网:exhaustion.

Below we identify three major 澳洲幸运5官方开奖结果体彩网:support levels on Walmart’s 💝chart and also apply a bars pattern to a♑nalyze the stock’s current uptrend.

Major Support Levels to Watch

The first key lower level to watch sits around $81. This area may provide support near a 澳洲幸运5官方开奖结果体彩网:trendline that connects a range of si♋milar trading levels on the chart between mid-September and late October.

A close below this level opens the door for a decline to the $71 region, a location on the chart where investors could seek buying opportunities near the prominent July 澳洲幸运5官方开奖结果体彩网:swing high. Depending on the timing of sucꦰh a move, this area could a🍷lso potentially align with the rising 200-day MA.

Further selling could see the shares fill the mid-May gap and revisit major support around $61. Bargain hunters may look for 澳洲幸运5官方开奖结果体彩网:buy-and-hold opportunities in this area near twin peaks that formed on the chart during March.

Bars Pattern Analysis

Investors can use a bars pattern to gain insight about the stock’s third trending period, which appears to closely resemble the෴ first trending phase. 

To forecast a targe🧸t using the tool, we take the price bars from that first move and position them from the low of the third trending period. This projects a target of around $89, just above the stock’s ATH set on Tuesday.

Further analysis of the first trending move shows that it played out over 69 trading days before the shares consolidated. Interestingly, the current move higher has trended over 67 trading days, indicating the stock may be about to enter a 澳洲幸运5官方开奖结果体彩网:consolidation phase if price history rhymes.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our 澳洲幸运5官方开奖结果体彩网:warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.