Ralph Lauren Corporation (NYSE: RL)

Ralph Lauren Corporation designs, markets, and distributes lifestyle products worldwide. The company operates in three segments: Wholesale, Retail, and Licensing. It offers apparel, including a range of men’s, women’s, and children’s clothing; accessories, which comprise footwear, eyewear, watches, fine jewelry, hats, belts, and leather goods, such as handbags and luggage; home products consisting of bedding and bath products, furniture, fabrics and wallpapers, lightings, paints, tabletops, and giftware; and fragrances. Ralph Lauren Corporation sells its products to department stores, specialty stores, and golf and pro shops, as well as through its retail stores, concession-based shop-within-shops, and its e-commerce sites. The company also sells its apparel, home, and other products through licensing alliances.
Take a look at the 1-year chart of Ralph (NYSE: RL) below with added notations:

After a rough slide in January, February and March, RL started trading sideways over the following 5 months. While in the sideways move, the stock has formed a common pattern known as a rectangle. A minimum of (2) successful tests of the support and (2) successful tests of the resistance will give you the pattern.
RL’s rectangle pattern has formed a resistance at $140 (red) and a $127.50 support (green).  At some point the stock will have to break one of the two levels.

The Tale of the Tape: RL is trading within a rectangle pattern. The possible long positions on the stock would be either on a pullback to $127.50 or on a breakout above $140. The ideal short opportunity would be on a break below $127.50.