Shares of Deckers have looked like grim death, falling 50 percent since November. But its chart shows that there might finally be reason for some hope.
The footwear maker's stock is trending higher with its 5-day moving average. In addition, the 5-, 10-, and 20-day averages are all stacked positively to one another.
DECK could be setting up to fill a gap that opened on April 27 as shown on the chart below, when the stock closed at $51.83 after plunging from near $70 in the previous session. What I'm looking for is two consecutive sessions above $56.58--the immediate "reactionary" low at the open of that day--as a possible signal of fresh capital coming into the name.
If that occurs, DECK could climb back to the April 26 low of $67.09. Shares of the footwear maker are up 4.7 percent to $58.76 this morning.
(Chart courtesy of tradeMONSTER )
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