Lululemon Inc (LULU)
Date of Analysis: July 3rd, 2025
*** September 12th, 2025 Update: LULU did break below support again and as a result has shifted to our secondary target. We have a good TIME turning point arriving on October 27th, but might not have to wait that long as the stock finds itself very near to its target. Our trading projection is as follows: Go long at $155, SL at $141. Our price target is located at $148 (+/- $7)
***August 18th, 2025, Update: Our overall forecast for LULU hasn’t changed. We are still looking for a major bottom. Our previously discussed downside projections were broken without triggering us into a trade (gap down – post earnings opening). After additional calculations we have made the following adjustments.
- August 18th bottom at $185.95 works in both price and time (chart 1)
- Secondary bottom possibility is located at $145 (+/- $4)
- Upcoming important TIME junctures arrive on September 1/8th and October 28th.
In summary, the bottom for LULU is likely in as of August 18th (80% probability), with 20% chance for the stock to break into the secondary target. We will propose an aggressive long technical entry point as soon as it will become available.
Trading:
Based on our quantitative models and timing methodologies, we anticipate the following SE developments in the Lululemon stock.
Computer System Output:
| LULU | Lululemon Athletica Inc. | Mid-cycle Bottom | 7/15/2025 0:00 | 220.7731929 | Major Top | 12/26/2025 0:00 | 636.8990357 |
Thus far, the stock has hit right into our target area of $220. In terms of TIME, the bottom was within the margin of error associated with our cycle composite mid-term bottom scheduled for August 1st. With that in mind, a better Cycle Cluster arrives on August 8th. Meaning, we are likely to see a double bottom or a slightly lower PRICE at that juncture. Such an outcome would be optimal.
The secondary scenario suggests the bottom is already in. And if so, we will attempt a technical entrée as soon as we get a pullback and such pullback is unable to put in a lower low or a double bottom formation. Stay tuned for that.
Once the bottom is in, the stock is expected to run up much higher, into $630. Possibly as soon as the end of December of 2025.
In summary, we are looking for a significant bottom as soon as NOW followed by a major 2X+ rally. Recent bottom at $219. 97 suggests the bottom might be in already. With that in mind, the most likely bottom will arrive around August 8th, 2025 at $215 (+/- $5).
Trading Parameters: Scenario #1 (Upcoming bottom): Go long at $218 with a stop loss at $209.75 – Scenario #2 (Bottom already in): Go long as soon as the technical setup confirms the bottom – stay tuned for that.
