Dillard's Inc

For today's chart we've chosen to take a look at Dillard's Inc (NYSE:DDS) because it broke beyond the resistance of a descending channel pattern. On March 5, we noted that bullish traders would likely watch for a move toward the trendline. As you can see from the chart below, the bulls did indeed take control of the direction and today's bullish price action is very significant because it will be used by traders to signal a shift in the prolonged downtrend.

We also noticed that today's breakout came on higher-than-average volume, which illustrates that the move higher is valid. We'll keep a bullish outlook on this stock until the price moves back below the recent low near $16.50.