The footwear and accessories designer could renew its positive run after approaching the midterm support.

The company benefits from solid financials. Sales outcomes of the leading designer and marketer of fashion products are anticipated to increase this year. In fact, concerning the first quarter 2014, net sales rose 9.2% in comparison to the same period in last year, with a gross margin of 35.6%. Finally, the net income came to $23.6 million, fairly similar to the performance made on Q1 2013. For the whole fiscal year 2014, the American fashioner continues to expect that net sales will advance 5% to 7% as previewed by the beginning of the year. The P/E ratio, lower than it peers, makes of it a more attractive share to acquire. Positive revisions have been made on its EPS during the last twelve months.

Technical patterns should lead a shift of the current trend. The equity squeezes and could soon test the USD 30.9 midterm resistance. If this scenario takes place, and then a double bottom is likely to be draft as the stock jumps. The 100-week moving average will play a key role on sustaining prices for avoiding major drops.

For reasons above exposed, the timing seems suitable for investors interested in opening a long position on Steven Madden. The bullish strategy could benefit from the closeness to the support area and eventually represent significant gains for investors while the USD 35 approached. However, a stop-loss could be placed at USD 30.6.