TYL is in a new accumulation/uptrend phase after breaking out of consolidation; technicals confirm emerging strength.

All right. I had to include a technology stock that looks different than Microsoft and Crowd Stack. I realize those are two pretty uh constructive technical profiles. So, I'll highlight one at Tyler Technologies that's more of an improving uh chart.

I think the chart of TIL is a great one to include because it illustrates to me uh what I call the phased approach to investing, right?

You think of a of a trend in one of three phases at any time. We're in an uptrend like Tyler Technologies, higher highs, higher lows. I call that an accumulation phase. We're in a downtrend or a distribution phase kind of like what you see on TI TL second half of 2025.

We're making lower lows and lower highs. Generally, weaker momentum, moving averages, sloping downwards. Then we have a sideways or consolidation phase where the highs and the lows are relatively stable, meaning we have clear resistance, clear support.

We're sort of in a basing pattern of some sort. The momentum in a consolidation phase is usually pretty neutral. So, the RSI spends most of the time between 40 and 60. We can see that sort of the spring summer months here on the chart of TYO.

Now, I would argue this chart has transformed or or transitioned from being in a consolidation phase to a new accumulation phase, a new uptrend phase. Now, what what do we see on the chart that helps us recognize that change in trend?

Well, number one, we've gone from consistent resistance to now breaking above resistance. We've gone from being sideways below a declining 200 day moving average to breaking out above the 200 day moving average.

Check out the momentum. The RSI was between 40 and 60 for most of the last 6 months. All of a sudden, the price breaks to a new swing high and the momentum improves, right? The RSI goes above 60.

So, the fact that we're getting overbought, the fact that the stock is back above the 200 day, I would argue confirms that now we're in a new accumulation phase. And if we keep seeing higher highs and higher lows, if we keep seeing decent momentum, that's where the relative performance can really start to improve as well.

Well, so I think Til is more of an emerging area of strength within the uh technology sector.