American Eagle Outfitters: RSI Overbought, Bollinger Bands Narrowing on 15min Chart

American Eagle Outfitters' 15-minute chart has exhibited signs of an overbought condition, as indicated by the Relative Strength Index (RSI) and Bollinger Bands Narrowing on 10/02/2025 at 14:15. This suggests that the stock price has risen too quickly and is potentially unsupported by fundamental analysis, resulting in a decrease in the magnitude of stock price fluctuations.

American Eagle Outfitters Inc. (NYSE: AEO) has seen its stock price exhibit signs of an overbought condition, according to technical indicators. On October 2, 2025, at 14:15, the Relative Strength Index (RSI) and Bollinger Bands narrowing suggested that the stock price had risen too quickly, potentially unsupported by fundamental analysis Sydney Sweeney Effect Wearing Off? American Eagle's Stock Growth Score Nosedives: Other Apparel Stocks Follow Suit^[1]. This overbought condition may contribute to a decrease in the magnitude of stock price fluctuations.

The overbought condition comes at a time when American Eagle Outfitters is experiencing a slowdown in its growth metrics. The company's growth score has dropped from 89.65 to 70.49 within a week, as the momentum from the so-called "Sydney Sweeney effect" appears to be fading Sydney Sweeney Effect Wearing Off? American Eagle's Stock Growth Score Nosedives: Other Apparel Stocks Follow Suit^[1]. This effect, which boosted the brand's popularity among Gen Z consumers, seems to be losing its impact.

Despite the drop in the growth score, American Eagle Outfitters still scores high on Value and Growth in Benzinga’s Edge Stock Rankings. The stock also maintains a favorable price trend in the short, medium, and long terms. However, the recent technical indicators suggest that the stock price may be due for a correction.

This development is not unique to American Eagle Outfitters. Other apparel stocks, such as Reitmans Canada Ltd. (OTC: RTMAF) and Caleres Inc. (NYSE: CAL), have also seen their growth metrics nosedive in recent weeks Sydney Sweeney Effect Wearing Off? American Eagle's Stock Growth Score Nosedives: Other Apparel Stocks Follow Suit^[1]. Reitmans Canada, for instance, posted weak quarterly results, including a 4.1% year-over-year revenue decline and a net loss of $7.2 million in Q1. Caleres Inc., the parent company of Famous Footwear, reported a 3.6% year-over-year revenue decline in Q2 and missed earnings estimates.

Investors should closely monitor these developments and consider the implications of the overbought condition and growth slowdown on American Eagle Outfitters' stock price. Technical indicators and fundamental data suggest that a correction may be imminent.