Technical set-up is there ahead of the earnings on Monday

Verizon setting up for a potential breakout towards the upside right ahead of its earnings report on Monday. Currently, its stock is trading at around $42.01 a share in the pre-market trade, with resistance an inch away along the upper trendline of the triangle drawn on the chart. Trendline resistance reads $42.56, two attempts to break higher have already occurred but the resistance is overpowering thus far. However, the stock seems to have established support around $38-$39, creating this optimistic setup. A break and close above the trendline would strengthen the case of a breakout, perhaps paving the way for a double-digit move to the next resistance around $48-$50. Following the earnings report, a move below the supportive trendline would not immediately suggest that further downside is likely. Only a move below $38 could lead to a further decline. Looking at the technical indicators, optimism is certainly validated. The MACD seems to be on the verge of turning positive and the RSI is positive as it reads 59.