Costco closed at $471.14 after losing 1.75% yesterday

A quick look at yesterday: the wholesale giant dropped 1.75% early on and traded close to the $471.14 level.

Following a previous reading of 3.4, Unemployment Rate in United States released yesterday at 13:30 UTC fell short of the 3.4 figure expected by analysts with an actual reading of 3.6.

This down-slide takes place despite the positive US macroeconomics indicators data that was published earlier — highly important Non Farm Payrolls data from United States beat analyst expectations of 205,000 with a reading of 311,000.

Amid the market gloom, United States CFTC Gold speculative net positions released yesterday at 20:30 UTC with a figure of 107,100, while the previous figure was 128,800.

Chart analysis suggests Costco could begin to recover as it approaches significant support, now $4.95 away from $466.19. Dipping below could be an indication that further losses are ahead. Trend analysis indicates that the Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. Having stamped out a session range of $468.38 to $480.46, Fibonacci-inclined Costco traders were highly concentrated around active Fibonacci support at $469.49. According to asset volatility analysis, Bollinger Bands® shows an indication of recovery: the lower band is at $465.84, a low enough level to, generally, suggest that Costco is trading below its fair value.

Overall, the technical outlook suggests Costco is likely to remain muted for the immediate future, with no clear-cut direction.

Costco was not the only decliner in the consumer staples sector; Philip Morris International lost 0.62% yesterday and closed at $98.35. Coca-Cola lost 0.42% yesterday and closed at $59.21.

On the other hand, positive performances could be seen by looking at other consumer staples stocks as Procter & Gamble was up 0.45%.

On a negative trend for around a month. Approximately 11 months ago, the wholesale giant reached a significant high of $608.05 but has struggled to hold onto its gains and declined 21.14% since then.