Bye Bye Lulu (Just in the near term not forever)A break back below $295 spells trouble for my favorite pair of leggings.
Good risk/reward set up as we are consolidating below structure in a bearish way.
H&S topping pattern in the making after a long term (TCT) Thrust, Consolidation, Thrust has played out on the monthly.
Lulu has over-produced based upon last earnings call with inventory rising 85% and if we are nearing a recession then more downside is to come for this beloved brand.
In addition, Viori has emerged as possible competition for LULU by taking some market share, especially amongst middle to upper aged men. (I know this isn't the target market for Lulu but more and more women I know are giving it a try.)
On the weekly:
I've got an alert set up for a break below the solid turquoise line
