Shares of Lululemon Athletica Inc (LULU) are falling sharply after reporting earnings and guidance that fell slightly below Wall Street’s lofty expectations. While the earnings and guidance were solid, the stock had run so much in 2020, investors wanted more. With the stock now down over 20% in the last week, investors are scoping out buy levels.
Based on pure technical analysis, the Lululemon stock chart target buy is $263-$265. This represents a major pivot from the February 2020 prior all-time high (before the March 2020 Covid-19 market crash) and the daily 200 moving average. Amazingly, it is also a 50% retrace of the March 2020 low to the recent all-time high near $400.00. This is a three-factor level which gives it a golden high rate of success.
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