Back on August 4, 2022 I reviewed the charts of e.l.f Beauty (ELF) and recommended that "On most days I would be excited about the new highs on ELF but today I would be cautious because price momentum has slowed. Protect your profits if you are long."
In hindsight the price of ELF ignored the slowing momentum indicator and has gone on to double in price since August.
Let's review the charts again.
In this daily bar chart of ELF, below, I can see that prices have rallied four-fold from their May lows. Prices trade above the rising 50-day moving average line and above the rising 200-day line. The trading volume has been increasing in the direction of the trend and that is a classic bull market sign.
The daily On-Balance-Volume (OBV) line has been in a rising trend the past year and confirms the price gains we have seen. The Moving Average Convergence Divergence (MACD) oscillator has been above the zero line for much of the last year.