Yesterday was another volatile day for the markets. And I wouldn’t expect today’s session to be any different.

Market sentiment is shaky, with volatility and uncertainty dominating the landscape.

But even in this chaos, BJ’s Wholesale Club (BJ) has stood tall.

While major indices suffered yesterday, BJ traded higher, displaying resilience and relative strength.

The stock is up 25% year-to-date, significantly outperforming the broader market, which is down double digits.

Currently trading near its 52-week highs of $120.43, BJ’s chart is flashing several bullish signals.

Let’s break it all down.

Multiple Squeezes Across Timeframes: The Spring Is Coiling

BJ has a compelling technical setup. Yesterday, the stock showed six squeezes across shorter timeframes, ranging from the 195-minute chart down to the 10-minute chart. Additionally, BJ’s daily chart is in a squeeze, a sign that this stock is “coiling” for a potential big move.

What Is a Squeeze?

A squeeze occurs when the Bollinger Bands tighten inside the Keltner Channels, signaling that volatility has contracted and the stock is consolidating.

Think of it like a spring being compressed—the longer the compression, the more powerful the release when the squeeze fires.

BJ’s stacked squeezes across multiple timeframes indicate that energy is building up. When these squeezes fire, they can lead to explosive momentum on both intraday and multi-day timeframes.

Stacked EMAs: A Sign of Bullish Momentum

BJ’s chart is also showing stacked exponential moving averages (EMAs) on both the daily and weekly timeframes.

What Are Stacked EMAs? Stacked EMAs occur when shorter-term EMAs (e.g., 8-day, 21-day) are aligned above longer-term EMAs (e.g., 50-day, 200-day).

This alignment signals a strong bullish trend, as it shows that buyers are consistently in control across multiple timeframes.

For BJ, stacked EMAs confirm that the stock is trending higher and has strong momentum. This setup is often seen in stocks leading the market and can serve as a foundation for continued upside.

Relative Strength: Leading While the Market Lags

One of the most impressive aspects of BJ’s setup is its relative strength. While the broader market struggles to find direction, BJ is up 25% year-to-date, crushing the performance of major indices like the S&P 500 and Nasdaq, which are down significantly.

Why Does Relative Strength Matter?

Relative strength measures how a stock performs compared to the overall market. When a stock outperforms during periods of market weakness, it signals that institutional investors are buying the stock, even in uncertain conditions. This is a key indicator of resilience and future potential.

Yesterday’s price action is a perfect example of BJ’s relative strength. As most stocks sold off sharply, BJ traded higher—a clear sign that this stock is attracting buyers even as the broader market crumbles.

Your Action Plan

BJ has all the ingredients for a high-probability trade setup:

• Daily squeeze and six squeezes across shorter timeframes (195m, 130m, 78m, 30m, 15m, 10m).
• Stacked EMAs on both daily and weekly charts, signaling strong bullish momentum.
• Relative strength, up 25% YTD while the market struggles.

If BJ can break above its recent highs, those squeezes could fire to the upside, leading to a significant breakout.

As always, position size appropriately, set your stop, and let the trade play out.

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