The coming week is expected to be bullish, following historical trends of S&P 500 rising more often than declining over the last 50 years. With end-of-month strength on the horizon, investors can expect to see higher quotes in the market. One stock to watch is BJ Wholesale Club, which is likely to move higher in the upcoming months. The shares have historically risen from June to September each year for the past five years, and both weekly and monthly cycles are indicating a potential increase in share price. With relative strength on the rise since January, BJ Wholesale Club is projected to reach over $100 by the end of the year.
BJ Wholesale Club has recently broken out of a two-year consolidation range, with weekly momentum showing a pattern of higher lows. The reversal of a downtrend in weekly relative strength is a positive sign for the stock. Additionally, daily momentum is constructive, further supporting the prediction of a rise in share price. HP, formerly known as Hewlett Packard, is another stock to keep an eye on as the company reports earnings this week. Despite the overall strength in the technology sector, HP is not overbought, indicating potential for growth.
In the case of HP, the cycles suggest that the upcoming earnings report will be met with buying, as the stock is showing higher lows in monthly momentum. The breakout from a two-year long formation is supported by higher lows in momentum, with the potential for the shares to rise closer to $40 by the end of the year. While relative strength has not been strong, the reversal of a two-year downtrend is a positive indicator for potential growth in the stock.
For investors looking to capitalize on bullish market trends, both BJ Wholesale Club and HP present opportunities for growth in the coming months. With historical data and cycle analysis pointing towards higher share prices, it may be worth keeping an eye on these stocks as they continue to show positive momentum and potential for further growth. As the post-holiday week unfolds, investors should stay alert to market trends and take advantage of potential opportunities presented by stocks like BJ Wholesale Club and HP.
