Walmart Inc ( WMT ) shares are trading higher Wednesday. The company announced a collaboration with Avery Dennison to advance radio-frequency identification (RFID) technology in fresh food categories.

WMT is demonstrating bullish strength. Find out why here.

What Happened: Walmart ( WMT ) and Avery Dennison introduced an industry-first solution, bringing RFID technology to fresh departments including bakery, meat and deli.

The partnership between the two companies enables them to solve a tough problem: using RFID in cold, damp areas like meat cases. Together, the companies created new sensor technology that works in meat, bakery and deli sections.

This helps Walmart ( WMT ) staff track inventory faster and more accurately, keeping shelves stocked. Digital expiration dates also make it easier to rotate items and mark down products, helping cut down on food waste.

“We believe technology should make things easier for both our associates and our customers,” said Christyn Keef, VP of Front End Transformation for Walmart U.S. “By cutting down on manual work, we’re giving our associates more time to focus on what really matters — helping our customers.”

Julie Vargas, VP and GM of Avery Dennison Identification Solutions, noted the partnership represents a key moment for the industry as digital identities allow associates to instantly know the freshness of the foods they are handling, enabling better inventory management.

The partnership aligns with Walmart’s sustainability objectives, including its goal to reduce global operational food loss and waste intensity by half before 2030.

WMT Analysis: Walmart ( WMT ) stock hit new all-time highs last week after the company partnered with OpenAI to create AI-first shopping experiences.

Walmart ( WMT ) is trading approximately 5.6% above its 50-day moving average of $101.95 and about 11.1% above its 200-day moving average of $96.90. This positioning suggests a healthy upward trend, as the stock remains well-supported by its moving averages. The relative strength index (RSI) at 57.46 indicates a neutral stance, suggesting that while the stock is gaining, it is not yet overbought.

The calculated support level stands at $100.37, providing a solid foundation should the stock experience any pullbacks. Conversely, the resistance at $109.57, which coincides with the 52-week high, will be a critical level to watch.

Walmart’s market capitalization of $846.88 billion positions it among the largest players in the retail sector, significantly larger than competitors like Target and Costco. This scale not only provides Walmart ( WMT ) with competitive advantages but also enhances its resilience in varying market conditions.

WMT Price Action: At the time of publication on Wednesday, Walmart ( WMT ) shares are up 1.33%, trading at $107.63, per Benzinga Pro.

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