Chewy Inc (NYSE:CHWY) stock has seen a decline since hitting a two-year high on June 6, but still holds a 51.3% year-over-year gain. The stock is now close to a historically bullish trendline, indicating a potential rebound.

Recent pullback in Chewy stock has brought it close to its 260-day moving average. Over the past two months, the stock has spent 80% of the time above this trendline, signaling a strong position.

Historical data shows that when similar signals occurred in the past three years, the stock was higher one month later 67% of the time, with an average gain of 6.9%. A move from its current price of $34.49 could push the stock back above $36.

CHWY’s 50-day put/call volume ratio at ISE, CBOE, and PHLX is high, indicating a potential sentiment shift that could lead to positive momentum. Options for the stock are attractively priced, with an SVI of 41% ranking in the 14th percentile of readings from the past year.

Read more at Yahoo Finance: Chewy Stock Well-Positioned to Make a Comeback