Stock of the day: Costco
17 November 2025
In today’s stock of the day, let’s take a closer look at Costco, where the H4 chart is showing a very clean and very important technical setup. For several weeks, the price has been moving sideways, creating a tightening structure that clearly reflects indecision among buyers and sellers. This consolidation phase forms a symmetric triangle, marked with blue lines. As time passes and volatility compresses, these two lines are getting closer to each other, which statistically increases the probability of a strong breakout in the near future.
What is important here is that Costco has respected both boundaries of the triangle very precisely. Each touch of the upper and lower line has resulted in a visible reaction, which confirms that traders are watching this formation closely. Because symmetric triangles generally act as neutral continuation patterns, the direction of the breakout will dictate the next major move. The longer the triangle lasts, the more energy is being stored inside this structure, and the stronger the expected follow-through once the breakout occurs.
How to trade it? The strategy is straightforward. A breakout of the lower line of the triangle would generate a sell signal, opening the doors for a deeper correction. On the other hand, a breakout above the upper boundary would activate a buy signal, suggesting the continuation of the broader bullish trend. For now, traders should remain patient, monitor volatility, and be ready for action, because Costco is approaching a decisive moment that will likely set the tone for the upcoming days.