Goldman Sachs technical notes ahead of results, potential for a breakout
The shares had been basing for the bulk of this calendar year, with a move higher in price that began off the lows of June. Ahead of earnings news the shares are just under the $170 area. The $170 level has been strong overhead resistance and the top of the range on a closing price basis since January of this year. If the news is strongly positive, there could be a technical price breakout which would be bullish. Long periods of basing as is the case here can lead to strong and sustainable moves on a breakout. Resistance levels to watch as potential upside objectives above $170 are at $175.79 and $180.23. If the news is a negative surprise, the shares are likely to fall back into the existing range. Support levels below $170 to watch as potential downside objectives are at $165.59, $160, and $158.65.