Dell Technologies boosts outlook with Tesla partnershipDell Technologies Inc. has seen a significant uptick in its market valuation following an upgrade by Evercore ISI, which raised its target price for Dell shares from 140 USD to 165 USD. This positive re-evaluation stems from Tesla’s decision to source most of its artificial intelligence server capacity from Dell Technologies. This partnership positions Dell advantageously within the rapidly growing AI sector, which is expected to expand as AI tools become increasingly integral to various industries.
Through its collaboration with Tesla, a leader in the electric vehicle industry, Dell not only penetrates the competitive AI technology market but also sets a precedent that could attract additional partnerships with other automakers.
Given this backdrop, let’s examine the potential trading opportunities for Dell Technologies Inc. (NYSE: DELL):
On the Daily (D1) timeframe, Dell’s stock has recently surpassed the resistance level at 150.30 USD, establishing support at 145.00 USD. The stock is in a stable uptrend, indicating the possibility of reaching new price highs. If there is a trend reversal, a potential downside target could be 130.05 USD.
The continuation of the uptrend offers a short-term target of 165.00 USD upon a rebound from the existing resistance. For a medium-term investment strategy, the stock price might ascend to 170.00 USD if the positive momentum is sustained.
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D1EL34 trade ideas
DELL - Starting to Eat SMCI Lunch?DELL has been doing well recently.
Global PC sales are expected to be going up after years of decline. Next Gen PCs will be different to the ones we currently own as they would have AI incorporated in them.
This would be good tailwind for Dell PC business.
The area where DELL is putting most of their attention is in Data Servers. They have partnership with Nvidia and reported going numbers in orders for AI optimised servers.
At this moment, it seems like DELL is starting to eat SMCI lunch, at least in terms of relative outperformance.
We are starting to break out of this 2 month base.
Stops around 129 and I started an initial position yesterday on support of 10 EMA. Will be looking for areas to add today, would be good to come down and retest the previous high at 136.
Dell Stock Hits Record High as it Secures Big AI Server OrdersDell Technologies ( NYSE:DELL ) has risen 9.45% to a record high after being called "the best way to play" in the artificial intelligence infrastructure buildout, according to Morgan Stanley analyst Erik Woodring. Dell stock ( NYSE:DELL ) surged 9.36% to 146.66 in midday trades on the stock market today. Woodring said Dell is benefiting from AI server sales momentum, inflecting storage demand and an improving PC market. He also called Dell stock a "top pick."
Morgan Stanley now forecasts Dell earnings per share of $8.06 in fiscal 2025 and $10.12 in fiscal 2026, both above consensus estimates. Dell's capital return program through dividends and share buybacks is an "added kicker," he said. Dell is now forecasted to earn earnings per share of $8.06 in fiscal 2025 and $10.12 in fiscal 2026, both above consensus estimates.
Dell shares rose over 9% on Wednesday to an all-time high after a note predicted the company would rake in sales from the insatiable demand for artificial intelligence servers. Most AI servers are built around Nvidia's chips, which have become prized in the technology industry because they are used to build and deploy advanced AI models from companies like Google, OpenAI, and Meta. Dell sells servers using the newest Nvidia AI chips, including its H100 GPU and the latest Blackwell-generation chips.
NYSE:DELL is expected to announce its April quarter earnings later this month, while Nvidia reports earnings for its quarter ending in April next week. Dell's other business, building PCs for consumers and businesses running Microsoft Windows, could get a boost next week when Microsoft reveals new capabilities at its conference, including long-awaited AI features that many analysts expect to drive demand for new PCs.
Technical Outlook
Dell stock ( NYSE:DELL ) is up 9.4% as of the time of writing trading within the overbought region with a Relative Strength Index (RSI) of 73.52. Traders ought to be cautious of a trend reversal or correction.
How about a trading strategy that repeats profitably day in and I call this the VWAP Hunter strategy.
.VWAP HUNTER STRATEGY Volume weighted average price.
You have heard me talk About the VWAP HUNTER strategy quite often on these pages.... here it is
PART ONE ... In the first five minutes of trading, when the stock
which you selected from the pre market favorites
goes up through the blue line...
the middle VWAP.... Buy @ market
If you miss that trade, for anyone of numerous reasons then go to:
PART TWO... This is known as the PULLBACK ( or P/B ) Part of this strategy....
THIS IS THE MOST RELIABLE SIGNAL !!!
After the first five minutes of trading
check the charts of the most up on high volume stocks i.e. the biggest gainers =
and those which pull back to the VWAP are trading candidates.
BUY THOSE which move vigorously to the upside through the VWAP...
Again, buy at the market.
Once in the stock, be sure to use a stop loss order.
DELL Drops?NYSE:DELL is showing weakness. It may be lagging in its sector. With Chip stocks like AMD, NVDA, and SMCI selling off over the past weeks it comes as no surprise that other related names in the sector are showing the same signs.
DELL is showing Bearish Divergence on a weekly chart. Divergences can show weakness or strength building in the market. When price makes new highs but oscillators like RSI (Relative Strength Index) or MACD (Moving Average Convergence/Divergence) make lower highs, weakness is presenting itself.
This has moved some already but definitely has more room to go given the current market sentiment. Easy ride to $100 maybe lower, choose your contracts carefully. Observe the Volume and Open Interest on the option chain...Hint: Check June's and compare it to the rest.
Join me.
DELL pushes price with a big earnings beat LONGDELL reported earnings 27% beyond the estimates and traders reacted. The indicators show
that relative volume was about 10X the running moving average. The RSI dual time frame
indicator ( by Chris Moody) showed a 50-level cross-over on 2/22 one week before earnings.
That was the best early entry and price is up 20% higher since then. The question is whether
is is overextending and so will retrace. The mass index indicator is suggestive of a reversal.
Overall, I will watch price action for bullish continuation while considering the possibility
of a short sell into a retracement if it evolves. No matter volatility is increased I intend
to make the best possible trade in response to what develops.
DELL leaps out of the shadows of SMCI LONGDELL has risen and is now at its all time highs. Apparently, its server intrastructure business
this thriving. It is chasing SMCI and does not have the high valuation ratios that make
SMCI look overextended. The indicators document the up trending price action. A price
forecast algorithm has DELL rising into a high pivot on April 18th with 35% upside to that
forecasted pivot. I am adding to my DELL position here for the anticipated two week trade.
Dell's Soaring Stock: A Tale of Innovation Dell Inc. Founded by a college dropout in his dorm room, the company has emerged as a titan in the realm of computing, and its recent stock performance has only solidified its position as a beacon of success in the market.
Michael Dell, the visionary behind the company bearing his name, has seen his personal wealth skyrocket in tandem with Dell's stock price. Bloomberg reports a staggering increase of $27 billion in his net worth this year alone, placing him among the upper echelons of the world's wealthiest individuals. Such a meteoric rise not only highlights Dell's remarkable success but also underscores the potent force of innovation and determination in the tech industry.
At the heart of Dell's remarkable ascent lies its robust performance in the stock market. Dell (NYSE: NYSE:DELL ) has witnessed a jaw-dropping surge of over 68% in its stock price this year, propelling its market capitalization to over $91 billion. Such exponential growth is a testament to the company's strategic vision and ability to capitalize on emerging trends in the tech landscape.
One of the key drivers behind Dell's stellar performance is the resurgence of the PC industry, coupled with burgeoning demand in the artificial intelligence (AI) sector. With a 22% market share in the PC industry, Dell is poised to reap the rewards of a projected 7% increase in PC sales this year, as estimated by Canalys, a leading analysis firm. Furthermore, Dell's foray into the realm of AI presents a lucrative opportunity for expansion, as the company positions itself at the forefront of innovation in this transformative field.
Looking ahead, Dell anticipates further growth, with revenue projected to reach between $91 billion and $95 billion. Such bullish optimism is supported by the company's commitment to rewarding shareholders, evidenced by a substantial repurchase of shares worth over $838 million and a 20% increase in dividends. Additionally, Dell's strategic initiatives, including workforce optimization measures, demonstrate a proactive approach to cost management in an ever-changing business landscape.
Despite the overwhelmingly positive sentiment surrounding Dell, some analysts caution against overvaluation of the stock. With an average target price of $122.6, lower than the current market price of $144, concerns linger regarding the sustainability of Dell's remarkable ascent. Furthermore, a forward PE ratio of 29.50, exceeding the sector median of 28.25, raises questions about the stock's valuation relative to its peers.
Nevertheless, the prevailing sentiment among analysts remains largely favorable, with the majority endorsing a buy or strong buy rating for Dell. With 11 out of 18 analysts advocating for a buy, coupled with the company's promising growth prospects in the PC and AI sectors, Dell appears poised to continue its upward trajectory in the foreseeable future.
In conclusion, Dell's remarkable journey from humble beginnings to global prominence serves as a testament to the power of innovation, resilience, and strategic vision. As the company continues to ride the wave of success in the ever-evolving tech landscape, investors and enthusiasts alike are left marveling at the boundless potential of Dell Inc.
DELL-LONGenter price -118.50
stop loss -113.89
take profit -127.73
(1H timeframe)
DETAILS:at the 1h timeframe i noticed a trend line and then a breakout , since the breakout we can see the higher lows and higher highs (we are in uptrend) , the price entered a tunnel (in my opinion the price will break up) in this trade i sticked to the swing 10 high stratgey , we can see the swing high that got broken by a messive bullish candle with strong volume and then the seconed candle was strong a well (also with strong volume) i decided to enter the trade even tough the price was close of touching the resistence line of the tunnel .
after the touch there was a gap down the day after but the price went back up close to the opening price .
it seems like the price handling the gap down well , we can see also right after the gap down the long wicks of the candles faceing down (it means that there is a strong rejection from the price to go down)
now i opened a fib , when the price went down in the gap down it touched the 0.5 and one of the candles the 0.382
i will be happy to hear your analysis if you have one in the comments
DELL March 28, 2024: Trending Up Together With MA-20On March 21, 2024, we entered a position in NYSE:DELL as it broke out of a trendline as we discussed in a post you can find in the related ideas section.
At the end of March 28, 2024, the stock continues to trend up together with its rising MA-21 and an break above the yellow trendline shown on this chart would provide an additional buy point.
DELL March 13, 24 How I use gap up to buy and sellOne of my favorite technique to buy a strong stock on huge gap up is
Wait for some days after the gap up to see a range would be formed.
From here I have 2 choices
If a stock will go up an upper range, I will buy it as soon as the stock crossing up, stop loss if it will go back to the range
If a stock will move down to the lower range, I will buy as closed to the lower range as possible, stop loss if the stock moves down further
NYSE:DELL falls in to the second case. I bought it around $114 yesterday very closed to the lower range (the purple line) and then sold it today around $110 as the stock crossed down further
DELL March 21, 24: Support at MA-20We had another trade on NYSE:DELL on March 13 which was failed trade. See the details in the related ideas section.
On March 21, 24, the stock found support at its moving average MA-20 and also crossed the trendline going up, hence we entered a new position here at close.
Dell to 200+ by summerDell nice breakout on a great earnings. It is not crazy expensive. Earnings probably get bumped up to 10 dollars for next year from 7-8 dollars a share on the server backlog. Put an AI multiple on that and baby you got 20-30 times next years earnings of 10 dollars by summer, or a 200-300$ stock ha.