Think of it like pressure building in a champagne bottle: the daily timeframe shows the main pressure building, while the smaller timeframes (78, 130, and 195-minute) confirm this energy is compressing across all trading windows. This rare synchronization typically suggests institutional players are quietly accumulating positions while retail traders aren't paying attention. When these squeezes finally release, the move tends to be explosive and sustained, rather than just a brief spike Technical Structure: Pressure Building at Critical Levels BURL's current price action shows textbook compression as it approaches its 52-week high of $298.89: - Tight consolidation near resistance
- Multiple timeframe squeeze alignment
- Strong upward momentum with 50% YTD gains
- Volume patterns suggesting institutional accumulation
Daily Framework The near-term technical picture is showing exceptional strength: - Perfect EMA stack configuration
- Fresh squeeze trigger forming
- Decreasing volatility indicating potential breakout
- Clear support levels established
When you see all exponential moving averages perfectly stacked (shorter above longer) with decreasing volatility near highs and a fresh squeeze trigger forming, it's like a coiled spring getting tighter and tighter - typically leading to an explosive move in the direction of the established uptrend once resistance finally breaks. Weekly Configuration The longer-term chart reinforces our bullish thesis: - Stacked EMAs showing sustained momentum
- Strong uptrend structure
- Clear volume confirmation
- Multiple support zones beneath current price
This isn't just another uptrend - it's showing the kind of technical structure that typically precedes major moves when combined with our squeeze signals. Recent Earnings Winner While Burlington's recent earnings beat and raised guidance provide a solid fundamental backdrop, the technical setup is what makes this opportunity particularly compelling right now. Your Action Plan This rare confluence of technical signals warrants close attention: - Multiple timeframe squeeze alignment
- Price consolidation near yearly highs
- Strong EMA structure
I have played BURL a few times this year, including earlier this month. If I do plan a trade, I'll be playing it with call options. But I want to be patient given yesterday's heavy selling. Once again,the S.A.M. AI Scanner has proven invaluable in identifying setups like this before major moves. Click here to find out how to get access to my proprietary S.A.M. AI Scanner that identifies this exact setup. |
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