The Express stock price recovered from its recent losing streak in fine fashion last week. But will this bullish momentum take EXPR higher still?
Express Inc (NYSE: EXPR) posted its first positive close this week, finishing Friday’s session at $5.79, higher by $0.11 (1.94), adding 10% in the last 2 days of the week.
The Columbus, Ohio-based apparel retailer made headlines earlier this year when it joined the WallStreetBets-fueled rally in January. In the five days following the 22nd of Jan, EXPR rocketed 1140% higher from just over $1 to almost $14.00.
Although some way from the $13.98 high of January 27th, the Express stock price still shows an impressive 555% return in 2021.
Even after the January squeeze evaporated, EXPR has experienced several, albeit less extreme, price pumps. The latest came in June when Express popped from $3.52 to $8.67 during five days of continued buying.
However, since that June 25th peak, EXPR has been trending lower and, at yesterday’s $5.01 low, had lost 42% in the previous 8 days.
Although it may be too soon to discount another spike.
The Express stock chart looks broadly constructive. EXPR is trading above the 50, 100, and 200-day moving averages. Furthermore, the stock has been trending higher since April.
Additionally, if the positive momentum carries into today, Express could clear the horizontal band of resistance between $6.10 and $6.20. This would open the door to a return to June’s high.
Not to mention, good support is seen below the market. Firstly, the 50 DMA is visible at $4.65. Followed by significant horizontal support between $4.40 and $4.50.
Furthermore, the 100 DMA at $4.11 reinforces this robust band of support. And on that basis, as long as EXPR remains above $4.00, it should trade with a positive bias.
Although, a daily close below $4.00 would invalidate this bullish outlook and suggest the Express stock price will extend lower to the $2.80 area, where the 200 DMA at $2.76 meets the May $2.83 low.
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