Automotive aftermarket parts and accessories producer LKQ Corp. (LKQ) returned to the Green Favored Zone of the SIA S&P 500 Index Report yesterday, having climbed 20 spots on the day and 102 spots in the last month.
LKQ Corp. (LKQ) staged a major double breakout over $32.50 yesterday, not only completing a bullish Ascending Triangle base, but also snapping a downtrend line, combining to signal the start of a new uptrend. Potential upside resistance tests appear near $37.00 and $43.00 based on previous peaks, plus $40.00 where a measured move and a round number converge. Initial support moves up to the $32.50 breakout point from $30.00.
Shares of LKQ Corp. (LKQ) have been trending upward since March with an upward trend of higher lows emerging. In recent weeks, the shares had been in a normal consolidation phase but yesterday, they broke out over $33.65, completing a bullish Spread Double Top pattern and signaling the start of a new upleg.
Next potential upside resistance tests on trend appear in the $36.40 to $37.15 range where a previous high and a horizontal count converge, plus the $43.50 to $44.00 area where a previous high and a vertical count converge, with the $40.00 round number in-between. Initial support appears near $31.70 based on a 3-box reversal.
With a perfect SMAX score of 10, LKQ is exhibiting near-term strength across the asset classes.
Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.
