Shares of L3 Technologies (LLL) rallied over 65% from their February 2017 low to their February 2018 high.
After making the high this year, they immediately began consolidating in a series of lower highs and higher lows. This price action formed a large symmetrical triangle pattern.
L3 broke above triangle resistance this week and is currently testing its all-time high.
The relative strength index moved back above its center line and 21 period average in March, and has continued to track higher. Chaikin money flow entered positive territory as the price momentum was accelerating and is now well into positive territory and above its signal average.
A pattern price projection can be made by taking the base measurement of the triangle and adding it to a breakout level or subtracting it from the breakdown point.
This week’s breakout projects a price objective that targets to the $234 area or about a 10% move higher.