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Dutch Bros Stock Flashing Sure-Fire Bull Signal
Schaeffers Investment Researchยท 2025-07-28 19:13
Core Insights - Dutch Bros Inc (NYSE:BROS) has experienced a pullback since early June, currently trading at $59.36, but is expected to rebound due to its proximity to the supportive 200-day trendline, which aligns with its year-to-date breakeven level [1] Group 1: Stock Performance - BROS is currently within 0.75 of the 200-day trendline's 20-day average true range (ATR), having spent at least 80% of the last 10 days and 80% of the last two months above this level [2] - Historical data shows that in the past three years, similar signals have led to a one-month increase in stock price, averaging a 21% gain, which could position BROS at $71.82, effectively recovering its July losses [2] Group 2: Technical Indicators - The 14-day relative strength index (RSI) for BROS is at 30.7, indicating it is on the verge of "oversold" territory [4] - Short interest in BROS accounts for 6.6% of the stock's available float, suggesting significant potential for buying power if a rebound occurs [4]