Good Time To Buy Coach For The Short-Term?

It might be a good time to buy as Coach (COH) did bounce off its $25 support level, but only for the short-term. If I was thinking about holding COH for the long-term, I would wait until a higher low is made as well as a higher high is made by closing above $32.50, officially breaking a descending triangle pattern. These patterns have a tendency to break support and fall to the downside, so I would watch for that in the coming weeks.

In a 4-year chart, we see an almost similar “bump-and-run” reversal pattern in COH like we did in NOK (in the post below). The only difference is that COH’s decline is not as severe, but that doesn’t mean that COH doesn’t have any downside risk. You an see the reversal pattern as well as the descending triangle and where they are located in relation to their support levels.

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