WMT attempts an 8-month bullish breakout

Walmart (WMT) breaking higher from an 8-month bullish cup and handle

WMT is on the move. Sustaining this week's rally above 105 would confirm an 8-month bullish cup and handle pattern that favors further upside to 120 (measured move) and then potentially higher toward 130 (pattern count). Rising 13-, 26-, and 40-week moving averages from 101.05 down to 96.79 reinforce chart supports at 99.87 and 95.42, underpinning the bullish setup for WMT.

WMT is also breaking out from an April into October falling (aka bullish) wedge relative to the S&P 500 (SPX), suggesting potential for renewed market leadership. Reclaiming the 26- and 40-week relative moving averages vs. the SPX would further validate the bullish case.

Chart 1: Walmart (WMT) (top) and relative to the S&P 500 (bottom)