Chart of the Week: CBOE
Hey everyone! Happy Wednesday. It’s time for our chart of the week. We’re gonna focus in in CBOE Global Markets. CBOE is the symbol. Let’s take a look this one. It’s been pretty bullish here. It’s got some nice bullish patterns, too.
What you want to notice here on this chart is the nice bottom that it made here at just under $232. You see it – pretty clear as day. Just about $231 or so.
The stock came down hard from a recent high in August, from about $252, it corrected about 10%. And nailed that level – one, two, three, four, five, six, seven, eight, nine times. Tested it and came back up, came back down. And it picked up that nice, what we call a W pattern. And rallied right back up through that high in late September.
And now, we see outside of the W pattern, we see a nice cup and handle pattern. What does that look like? You’ve got the cup here like this, and the handle right there. And notice that, in the handle, we’re coming up to that downtrend line, which we like to see happen on lower volume. And we can see that actually occurred over here. Well, we had one day of higher volume, but mostly lower volume. You want to see that lower volume happen during the handle – when the stock is pulling back, when the weak hands are pulling off the stock here.
So a couple of nice bullish patterns over here.
We also have a nice pattern in the relative strength. It has come down as well; looks almost identical to the handle and cup.
We do have a bearish signal right now in the MACD. But that is only because we’ve pulled back here and moving averages have started to come up to meet the current price.
On-volume is strong. That is a good indicator of positive volume on the up days and lower volume on the negative days.
Where do we think CBOE is going to go? Listen, you know what? Patterns are made to continue, and we see higher highs and higher lows in this thing. If we get above that $260 level, I certainly think we could get to $280-300 by early 2026. Why not, right? This stock is poised to do well.
Fundamentally this stock is very, very strong. Really doesn’t have any peers at all. And with new offerings coming out in 2026, I think the sky’s the limit for the CBOE.
Check out the CBOE. Thanks so much for watching everyone and I’ll see you guys next time.
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