LULU Shortlululemon athletica inc.BATS:LULUProSignalaiLULU remains in a downtrend overall, defined by a series of lower highs and lower lows since late July. The last Break of Structure (BOS) occurred near $186, where price broke beneath the prior low, confirming bearish continuation. A temporary Change of Character (CHoCH) appeared on the upside in mid-August when price rallied above a short-term high, but it failed to follow through, meaning sellers still control the broader structure. Supply & Demand Zones Above current price, the nearest supply zone lies around $202–$204, where price previously stalled and sellers quickly forced a rejection. This indicates strong overhead supply. Further up, the $212–$214 zone also remains heavy resistance, where price dropped sharply during the prior selloff. On the downside, demand around $194–$196 has provided temporary support, with buyers stepping in modestly, but the reaction was weak compared to earlier selling pressure. The deeper zone at $185–$188 is more important, as it’s where sellers last broke structure, and a retest there may lead to continuation lower. Price Action in the Marked Region Price is currently trading near $200, just below a fresh supply area. The candles show rejection wicks and fading momentum, suggesting that sellers are defending this level. If this rejection holds, a move back into the $194–$196 demand is likely, with a strong chance of continuation toward $185 and potentially into the $178 target zone marked on the chart. If instead price breaks and holds above $204, this bearish outlook weakens significantly. Trade Bias & Outlook The current bias is bearish. The expected direction is lower, with the key downside target near $178. Invalidation level: A decisive close above $204 would flip the outlook bullish, as it would show buyers absorbing overhead supply. Momentum & Candle Behavior Momentum favors sellers, as recent rallies have been corrective and weaker compared to impulsive selloffs. Current price action shows rejection at supply with smaller-bodied candles, a bearish signal. Unless buyers show strong follow-through above $202–$204, momentum continues to favor sellers.