The British grocer Tesco is due to report earnings on Thursday. Looking at its stock, the outlook remains bullish. Though it is approaching a tough resistance point.

Taking a look at Tesco, we can see that the British grocer has been in a solid uptrend since October last year. Gaining further momentum from setting higher highs and creating support along the way with higher lows. The various support levels are highlighted by the ascending trendline dating back to October. Currently its stock is trading at around 267p a share, it is gradually approaching a key resistance level sitting at 271p (white oval). A break above this resistance point may see the price rise higher towards 280-285p a share. Tesco is due to report its earnings on Thursday (13^th), hence, 280-285p would be the target if the outcome was positive. Especially after the massive selloff prior to Christmas. Support sits at 261p followed by 257p. A dip below 257p may see a further retracement towards the support along the trendline (254p). Looking at the technical indicators, both the MACD and RSI are positive with the RSI reading 63.