AEO Gets Upgrade Right at Breakout Plateau

American Eagle Outfitters, Inc. (AEO) was upgraded to Market Perform from Under Perform by Cowen research this morning, which has goosed the stock above its 2+ year resistance line at 14.10) to its prior rally peak at 14.48 on Dec 3.

If hurdled and sustained above 14.48 on a closing basis, AEO should be in route to test much more important resistance at 15.10/15.

If taken out, it will trigger upside projections derived off of the prior 12-month base-accumulation pattern that points to the 20-target zone.

At this juncture, only a reversal and break below the 200-day EMA, now at 13.27, will wreck the promising technical set-up in AEO.