Long
Price finding support?
Updated
As the broad market continues to sell off, PLTR is trading in a descending channel and holding support in the upper demand area on above-average selling volume. Price is consolidating forming a falling wedge reversal pattern and may break out of the descending channel to the upside.
Momentum – RSI shows a possible bullish convergence, the share price is creating lower lows while the RSI has been making higher lows all week, indicating the momentum to the downside may be slowing.
Trend – The 12EMA crossed the 50EMA at the start of the current downtrend and stayed well below for 6 trading days, until this week when the SP showed strength by breaking through the 12 and 50EMA. The 12EMA also crossed the 50EMA briefly which may indicate the start of a change in momentum.
Volume – Share price tested the lower part of the demand zone back in dec on high volume setting the lower support line. At the start of the downtrend selling volume increases, and as we approach the demand zone selling volume decreases. SP again tests the demand zone on equally high volume but finds support near the upper support line, which may indicate selling is decreasing in this area, and buyers are starting to feel comfortable at this price.
Chart Pattern – Price is currently trading in a descending channel and has tested the upper trend line multiple times on above-average volume, being immediately rejected every time. On 2/26 price tested the upper trend line again on above-average volume and possibly consolidating into a falling wedge reversal pattern.
Support and Resistance – Price is currently finding support in the demand area set by Dec, Jan, and Feb price action, between $24.50 - $21.15. Potential resistance between $31.00 - $33.50 and major resistance in the supply area set by Jan and Feb highs between $38 - $45.
Recent News
• Expanded contracts/partnerships with 3M, Rio Tinto Limited, IBM, Akin Gump Strauss Hauer & Feld LLP
• Lock-up period expired allowing insiders to sell the remaining 80% of their shares
• Lawsuit against NHS involving PLTR
Any comments or critiques would be appreciated, thanks for looking!
Momentum – RSI shows a possible bullish convergence, the share price is creating lower lows while the RSI has been making higher lows all week, indicating the momentum to the downside may be slowing.
Trend – The 12EMA crossed the 50EMA at the start of the current downtrend and stayed well below for 6 trading days, until this week when the SP showed strength by breaking through the 12 and 50EMA. The 12EMA also crossed the 50EMA briefly which may indicate the start of a change in momentum.
Volume – Share price tested the lower part of the demand zone back in dec on high volume setting the lower support line. At the start of the downtrend selling volume increases, and as we approach the demand zone selling volume decreases. SP again tests the demand zone on equally high volume but finds support near the upper support line, which may indicate selling is decreasing in this area, and buyers are starting to feel comfortable at this price.
Chart Pattern – Price is currently trading in a descending channel and has tested the upper trend line multiple times on above-average volume, being immediately rejected every time. On 2/26 price tested the upper trend line again on above-average volume and possibly consolidating into a falling wedge reversal pattern.
Support and Resistance – Price is currently finding support in the demand area set by Dec, Jan, and Feb price action, between $24.50 - $21.15. Potential resistance between $31.00 - $33.50 and major resistance in the supply area set by Jan and Feb highs between $38 - $45.
Recent News
• Expanded contracts/partnerships with 3M, Rio Tinto Limited, IBM, Akin Gump Strauss Hauer & Feld LLP
• Lock-up period expired allowing insiders to sell the remaining 80% of their shares
• Lawsuit against NHS involving PLTR
Any comments or critiques would be appreciated, thanks for looking!
Trade active
As markets begin to reverse PLTR breaks out of $25.50 resistance on high volume. 1HR 12 and 50EMA have crossed back to the upside indicating a possible change in trend. If price can hold support around $25 while RSI holds around midline (50), that will be an indication momentum is still strong and a continuation to the upside may occur. Current average $23.60
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