Top Performers: Williams-Sonoma, Inc [NYSE: WSM] has lived up to my expectations. I last covered this stock on June 3rd when it had an earnings call. In the article titled, “William-Sonoma (WSM) leads market recovery: Soaring 13.39% following earnings conference call”, I noted that the company’s earnings call and growing customer engagement were driving bullish momentum. On that day, WSM opened for trading at $58.10. Since then, WSM has made significant gains to test highs of over $70 before entering its current consolidation phase. This was a result of a 21.5% gain potential in just over one month.
Looking at the daily chart above on WSM, it now has some resistance around the $67 – $70 price level. It has attempted to retest this level 3 times but has failed. For instance, in Wednesday’s session it rose to a high of $67.44 before correcting to close the day at $65.10. WSM was a nice winner and its always important to lock in profits when you are up on a trade.
Nonetheless, the company has a number of positive news that could see it push through this resistance in the near-term. For instance, two days ago, it announced the launch of new premium glassware and other bar accessories in a partnership with Casamigos. Casamigos is a premium Tequila brand, and the co-branded products are designed in a way that they reflect the Casamigos aesthetic appeal. Success in this collaboration could have a positive impact on WSM in the coming quarters. In the day, the key level to watch will be yesterday’s high of $67.27. If it pushes through, it could mark a continuation of the bull rally.
Market-wise, major U.S indices such as the S&P 500 and the NASDAQ will be important for investors to watch. For instance, the U.S service sector sentiment is due today, and is an important measure of the U.S economy.
About Williams-Sonoma, Inc
Williams-Sonoma, Inc is a specialty retailer for home products. The company operates an e-commerce and retail segment. As of early 2019, the company had 625 stores all over the world. The company has its headquarters in San Francisco, California.