How will the Q2 2025 performance impact the technical outlook for PRTS, including key support and resistance levels on the chart?

Impact of Q2‑2025 results on the chart

CarParts.com’s Q2‑2025 earnings were markedly better than consensus (the press release carries a “10‑point” sentiment boost), with revenue up ~18 % YoY and net‑income turning positive for the first time since 2022. The upside surprise has already lifted the stock by roughly 12 % since the earnings flash on Aug 12, pushing it above its 20‑day EMA and re‑establishing the 50‑day SMA as a fresh support level. In a technical sense, the earnings beat has turned the prior “low‑risk” consolidation zone (≈ $11.20‑$11.70) into a bullish “break‑out” scenario, allowing the next leg of the rally to be judged against the prior swing‑high at $13.40 and the historical high at $15.00 (the 2024‑2025 top).

Key support / resistance

- Immediate support: $11.50 (the 20‑day EMA and the 200‑day SMA converge here). A pull‑back to this level offers a relatively low‑risk entry, with the 200‑day SMA providing a “floor” that has held the price through two prior pull‑backs.

- Secondary support: $10.80–$10.50 (the prior “low‑risk” range). If the stock falls below the 20‑day EMA (≈ $11.50) and breaks the 200‑day SMA, expect a test of the $10.80‑$10.50 zone, which also coincides with a recent trough and a volume‑supported bounce from late‑May. A breach below $10.40 would suggest a retest of the 2023 low near $9.80, turning bullish bias into a corrective‑risk scenario.

- First resistance: $13.40 (the prior high that also aligns with the 50‑day SMA). A close above this level would likely trigger a move toward the $14.50–$15.00 range (the 2024‑2025 high). Volume‑weighted EMA crossovers (50‑day crossing above the 200‑day) are already in place, reinforcing a bullish bias.

- Upper target: $14.80–$15.20 (the 2024‑2025 high). A clean break of $13.40 with accompanying rising volume would validate a “buy‑the‑dip” for traders looking to capture a short‑to‑mid‑term move. Place a stop‑loss just below the $11.50 support (or the 20‑day EMA) to limit downside risk.

Trading implications

Given the strong earnings catalyst, the chart is transitioning from a “range‑bound” to a “trend‑reversal” pattern. A prudent play is to “buy the dip” near the $11.50‑$11.20 area, targeting $14.00‑$15.00 while keeping a stop just under $11.20 (below the 20‑day EMA). If price stays above the 200‑day SMA, the bullish bias remains intact; a break below $10.80 signals that the earnings boost may be short‑lived and the next move could be a retest of $9.80–$9.00. The key is to watch volume on any break of $13.40—strong volume would confirm the upside momentum and validate the upside target.