Get started
longsonvn

SMCI March 29, 2024: A Head & Shoulder Forming

Super Micro Computer, Inc. (BATS:SMCI)  
longsonvn Updated   
BATS:SMCI   Super Micro Computer, Inc.
Trend Analysis Chart Patterns followthetrend
12
0
trendanalysis chartpattern followthetrend
SMCI is a clear leader during this bull market. However, after a 260% run-up from a previous buy point as shown on the chart, the stock is struggling to move up further.

Now it might slowly form a Head & Shoulders Pattern, and a breakdown through the neckline would signal a sell.

Interestingly, the neckline is right near the 50-day moving average (blue line), therefore a breakdown there will be an even stronger sell signal.
Comment:
On April 9, 2024, the stock already moved down the neckline.

However, to be clear, I absolutely do not plan to short SMCI or any other stocks. I am looking for reversal pattern at the top ONLY to sell which I have already bought, to close the trade.

Shorting stocks, especially tech stocks, in my opinion, is very risky.
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.