American Eagle Outfitters stock price (AEO) fell in the intraday levels while trying to gather momentum and rise anew, as the stock trades near the 50-day SMA axis, with the dominance of the main upward trend in the short term, coupled with positive signals from the RSI after reaching oversold levels.

Therefore we expect the stock to return higher, targeting the pivotal resistance of $26.44, provided the support of $21.86 holds on.

Trend forecast: Likely Bullish