WIX Forms Deep Faulty Base in Stage 3 Topping, Trend Template Fails

Posted on by Eben@CANSLIM Research
WIX daily stock chart with 10, 20, 50, 150 and 200-day moving averages, volume and RS line versus SPY — CANSLIM Research

WIX is churning around its 30-week moving average in a Stage 3 topping pattern, with the 30-week MA sloping down at -8.57% over six weeks. The stock has built a 45-week deep base with a 78.1% depth, flagged as faulty and carrying an elevated failure rate, while no VCP or bullish flag has emerged. The trend template passes only 4 of 8 checks, and sentiment is cautious and deteriorating, suggesting a high-risk, low-probability long setup.

As of 2026-08-13 · Close $80.06

Stage 3 (Topping) — Price churning around the 30-week MA — topping consolidation (30-week MA 6-week slope: -8.57%)

⚠️ Faulty cup warning: the base is 78.1% deep (above the 38–40% threshold). A correction this deep leaves heavy overhead supply — trapped holders from higher prices are likely to sell into any rally, raising the failure rate of a breakout from this base.

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