Ross Stores Jumps 3.36% On Bullish Technicals As Golden Cross Forms

Ross Stores (ROST) advanced 3.36% in the most recent session, closing at $146.55 on elevated volume of 2.95 million shares. This analysis synthesizes key technical perspectives based on the provided price history.
Candlestick Theory
Recent candlestick patterns reveal constructive price action. The August 4th session formed a bullish engulfing pattern at $136.33-142.50 after testing the July swing low of $126, suggesting accumulation. The latest 3.36% white candle closed near session highs ($146.55), rejecting resistance near $147 – a level tested multiple times since May. Support appears firm at $136.33-$137, aligned with the July consolidation base. Consecutive higher lows since the July 17th bottom at $129.94 establish a near-term ascending channel.
Moving Average Theory
The 50-day moving average ($142.30) crossed bullishly above the 200-day MA ($143.80) in early August, signaling improving intermediate momentum. Price currently trades above all key moving averages (50/100/200-day), confirming the bullish posture. However, the 100-day MA ($138.50) remains below the 200-day MA, reflecting residual long-term caution. The Golden Cross formation would strengthen substantially if the 100-day crosses the 200-day.
MACD & KDJ Indicators
MACD (12,26,9) registered a bullish crossover on July 28th and continues expanding in positive territory, confirming strengthening upside momentum. The KDJ oscillator (K:78, D:72, J:90) reflects overbought conditions after the recent surge. While KDJ above 80 often precedes pullbacks, the absence of bearish divergence suggests any retracement may be shallow. Both oscillators agree on near-term bullish momentum but flag overextended conditions.
Bollinger Bands
The July consolidation phase triggered significant band contraction (20-day bandwidth narrowed to 5%), culminating in an August 6th breakout above the upper band ($145). This volatility expansion signals trend acceleration. Price currently trades at the upper band extremity, implying short-term overbought conditions. A close back inside the bands would suggest consolidation, while sustained upper-band deviation could extend gains toward $150.
Volume-Price Relationship
The recent 3.36% advance occurred on 44% higher volume than the previous session, validating breakout conviction. Notable accumulation appeared during the July basing phase (e.g., July 16th volume spike at $129.10 low). However, the May 23rd distribution event (-9.85% on 18.5M shares) established formidable overhead supply near $150. Sustained volume above the 50-day average (2.8M shares) is needed to challenge this resistance.
Relative Strength Index (RSI)
The 14-day RSI reads 68, approaching overbought territory but not yet extreme. This reflects strengthening momentum after recovering from oversold (RSI=28) in mid-July. The RSI formed bullish divergence in July (higher lows against price's lower lows), foreshadowing the current advance. While nearing the 70 threshold, room exists for further upside before technical exhaustion.
Fibonacci Retracement
Applying Fibonacci to the April low ($126) and May high ($163.60), key levels emerge. The 50% retracement ($144.80) was reclaimed during August’s rally, while the 61.8% level ($149.50) now serves as primary resistance. This converges with the psychological $150 barrier and the May breakdown level. Downside support aligns with the 38.2% retracement ($140.20), reinforced by the 50-day MA.
Confluence & Divergence Observations
Notable confluence exists at $149.50-$150, where Fibonacci resistance, the May distribution zone, and the 200-day MA converge. Bullish agreement appears in MACD/RSI momentum signals and volume-confirmed breakout. The primary divergence involves KDJ's overbought reading against RSI's neutral positioning, suggesting near-term consolidation risk before challenging major resistance. Probable price action involves consolidation below $149.50 before testing this decisive resistance cluster.