Guess?, Inc. (NYSE: GES)

Guess?, Inc. designs, markets, distributes, and licenses lifestyle collections of contemporary apparel and accessories for men, women, and children that reflect the American lifestyle and European fashion sensibilities. It operates through North American Retail, Europe, Asia, North American Wholesale, and Licensing segments. The company's clothing collection includes jeans, pants, skirts, dresses, shorts, blouses, shirts, jackets, knitwear, and intimate apparel. It also grants licenses to manufacture and distribute various products that complement its apparel lines, such as eyewear, watches, handbags, footwear, kid's and infant's apparel, outerwear, swimwear, fragrance, jewelry, and other fashion accessories. The company markets its products under the brands of GUESS, GUESS?, GUESS U.S.A., GUESS Jeans, GUESS? and Triangle Design, MARCIANO, Question Mark and Triangle Design, a stylized G and a stylized M, GUESS Kids, Baby GUESS, YES, G by GUESS, GUESS by MARCIANO.

Take a look at the 1-year chart of Guess (NYSE: GES) below with my added notations:

GES has formed a clear level of support at $18 (green), which was also a previous resistance and support in the past. In addition, the stock has been declining against a down trending resistance level (red) over the last five months. These two levels combined have GES stuck within a common chart pattern known as a descending triangle. Eventually, the stock will have to break one of those levels.

The Tale of the Tape: GES has a down trending resistance and a $18 support level to watch. A long trade could be made on a breakout through the resistance or on a pullback to $18. A break below the $18 support would be an opportunity to enter a short trade. Please share this article