Technology and business consulting giant Accenture PLC (ACN) has been bouncing around the boundary between the Green-Favored and yellow-neutral zones in the SIA S&P 100 Index Report since May. Over this six-month period the shares have returned 15.0%. ACN has been on an upswing lately, climbing 8 positions in the last month to 25th place, returning to the Green Favored Zone from a short dip down into the yellow zone. A major breakout is underway in Accenture (ACN) shares. After selling off through most of 2022, the shares bottomed out just over a year ago, then spent six months base building, which included a March retest of the low near $240.00. Since then, the shares have been in recovery mode. Back in June, ACN completed a base with a breakout over $290.00 and moved up into a $290.00-$330.00 range.
Yesterday, Accenture closed above $330.00 for the first time since December of 2022, signaling the start of a new upleg within an emerging recovery trend. Measured moves suggest potential resistance near $370.00 then the $410.00-$420.00 area. Initial support appears near $310.00.
After nearly two years of correction and consolidation, Accenture (ACN) appears poised to resume its long-term uptrend. A 2022 selloff stabilized a year ago, and finally bottomed out in a March Bear Trap where it broke down by one row then reversed upward and never looked back.
Following a spring rally, the shares consolidated gains through the summer and have started to climb again, recently completing a bullish Double Top pattern. A close above $335.85 would confirm the start of a new uptrend.
Initial upside resistance appears near $385.80 based on a vertical count, followed by the $400.00-$410.00 zone where a round number and horizontal count cluster around the January 2022 peak. Initial support appears near $304.20 based on a 3-box reversal, followed by the $300.00 round number.
With a perfect SMAX score of 10, ACN is exhibiting strength across the asset classes.
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