The charts and indicators of Ross Stores (ROST) are interesting. I consider the word "interesting" a euphemism - one of those words you might use to say something without saying anything meaningful or truthful for that matter. How was that new dish your wife slaved over Friday night? "It was interesting." Not outstanding or memorable. Just interesting.
I cannot say that the charts of ROST are bullish and they are not bearish - they're interesting. Get the idea? Let's look deeper.
In this daily bar chart of ROST, below, we can see a strong rally from last March to the middle of November. ROST stayed above the rising 50-day moving average line and the bullish 200-day average line.
The daily On-Balance-Volume (OBV) line shows a positive direction to September and then diverges in November when prices make new highs but the OBV line does not make new high. Then things change - ROST declines rapidly for six weeks on heavier than average volume.
The OBV line turns down, moving average lines are broken and the Moving Average Convergence Divergence (MACD) oscillator breaks below the zero line for an outright sell signal. Prices have rebounded from late December but the move is not convincing.
ROST is back above the rising moving averages but volume is light.
The OBV line is struggling and the MACD oscillator has been in a take profits mode since the end of January. This looks like a bear market rally.
In this weekly bar chart of ROST, below, we can a more positive picture.
Prices are above the rising 40-week moving average line. Volume is still slack however.
The weekly OBV line is bullish and the MACD oscillator too.
In this Point and Figure chart of ROST, below, we can see that ROST has reached an upside price target of $92.16. That does not mean that ROST cannot go up further, but it can mean that prices trade sideways before further gains.
Bottom line strategy: With the charts of ROST looking interesting and not bullish I favor standing aside for now.