The USD 100 support area, currently tested, might facilitate a technical rebound of shares of the jewelry and watch maker.
The company’s fundamentals could validate this scenario. The quarter’s results beat market expectations, earnings of $72.2 were posted for an increase of 11% over analysts’ forecasts. Its operations in the European market rose 16.4% and similar improvements were made in both the American and Asian markets. The low P/E ratio of only 14 times constitutes an opportunity for acquiring shares at discounted prices.
Fossil Group recently got oversold and is now in the midst of a recovery phase. The $100 area has been a significant support for prices in order to avoid further drops. A wave should be draft after this contact pushing the equity toward the upper side of the symmetrical triangle. It this scenario takes place, then the $112.8 midterm resistance could be tested before prices leave the pattern.
Therefore, investors could buy Fossil shares at $100. Although, the main target is set at $112.8, the trend will be confirmed once the $106 broke. A stop loss order can be placed under the support.
Fossil Group, Inc. is a design, marketing and distribution company that specializes in consumer fashion accessories. The Companyâs principal offerings include a line of men's and women's fashion traditional watches, smartwatches, jewelry, handbags, small leather goods, belts and sunglasses. Its segments include Americas, Europe and Asia. The Americas is comprised of sales from its operations in the United States, Canada and Latin America. Europe segment is comprised of sales to customers based in European countries, the Middle East and Africa. Asia segment is comprised of sales to customers based in Australia, China, India, Indonesia, Japan, Malaysia, New Zealand, Singapore, South Korea and Thailand. The Company's owned brands include FOSSIL, SKAGEN, MICHELE, RELIC and ZODIAC and licensed brands ARMANI EXCHANGE, DIESEL, DKNY, EMPORIO ARMANI, KATE SPADE NEW YORK, MICHAEL KORS, and TORY BURCH. Its products are distributed through wholesale, retail stores, commercial Website, and others.
FOSSIL GROUP, INC. 
