Skechers USA, Inc. (SKX) broke out of a large base formation in October. The trend has turned sideways in recent weeks but further gains look possible. Let's lace up a few charts and indicators.
(See Jim Cramer's "Mad Money Recap" for more on SKX.)
In this daily bar chart of SKX, below, we can see a huge upside price gap in October. Volume was very heavy and prices jumped way over the rising 50-day and 200-day moving averages.
The daily On-Balance-Volume (OBV) line started as strong rise that still continues and signals that buyers of SKX have been more aggressive.
The Moving Average Convergence Divergence (MACD) oscillator jumped above the zero line in October for a buy signal and it moved above the zero line again this month.
In this weekly bar chart of SKX, below, we can see the bottom pattern that goes back to late 2015. The 40-week moving average line turned positive in May of 2017 and is still bullish. The MACD oscillator on this time frame is narrowing to what should be a fresh outright go long signal.
In this Point and Figure chart of SKX, below, we can see an upside price target of near $53.
Bottom line: Try to be patient and wait for a possible dip to around $40 and risk below $38. $53 is my upside price target when the rally resumes.