Lululemon Athletica Inc

LULU has registered a pronounced capitulation in a Stage 4 downtrend with extreme oversold readings, signaling forced liquidation may be ending. While the long-term trend remains bearish, mean-reversion conditions permit a medium-term bullish bias. Price is currently extended below all major EMAs, so execution is deferred. The preferred engagement is to stalk for a rebound into the 9/20 EMA zone or stabilization near the capitulation low (~98) before buying.

• ↑Mainland China revenue surged 30% YoY, underscoring international growth.
• ↑New product styles planned to rise from 23% to 35% by spring 2026.
• ↓U.S. revenue declined 3% with comparable sales down 6%, flagging domestic weakness.