Is This Advance Auto Parts, Inc. (AAP)’s Unjustifiable Rally?

The stock of Advance Auto Parts, Inc. (NYSE:AAP) has been Downgraded to Neutral from Buy by Guggenheim in its latest research note that was published on August 14. Goldman, analysts launched coverage of AAP stock with a Sell rating, according to their flash note to investors on July 11.

Advance Auto Parts, Inc., which has current market capitalization of above $11 Billion, published its last quarter earnings on July 31, 2019.

AAP surged by $1.29 during the normal trading session on Thursday and reaching a high of $160.15 during the day while it closed the day at $155.20. The Advance stock had a low trading volume of 1.16 million shares on that day, which is low compared to the average daily volume of 1.19M shares. AAP has also gained 5.90% of its value over the past 7 days. However, the stock has surged by 3.05% in the 3 months of the year. Over the past six months meanwhile, it has gained 0.78% while it has lost 1.44% year-on date. Let us now take a look at the stock’s potential support and resistance levels. The publicly traded company was seen to have slipped by -4.92% from its 3 months high price. However, taking another look at AAP will indicate that it is trading +19.3% away from its 90-day low. Looking at the bigger picture, the Advance Auto Parts, Inc. stock has dropped by -16.63% from its 52-week high while it has surged by +19.3% from its 52-week low price.

Looking at the stock’s Technical analysis information over the past 50 days shows that its Raw Stochastic average stood at 75.77%. This figure is worse than the company’s 20-day Raw Stochastic average which currently stands at 81.84%. Over the past 20 days, Advance’s Stochastic %K stood at 93.01% while its Stochastic %D was revealed to be 96.3%.