Watch These Elastic Stock Price Levels After Post-Earnings Surge | Global News Avenue

Elastic band (electronic technical committee) handily beat Wall Street’s profit forecasts and boosted its outlook, sending shares of the enterprise data software company sharply higher on Friday.

The company currently expects fiscal 2025 income Growth was 15%, up from the 14% forecast in August, with continued business demand for the software maker boosting the outlook Generative Artificial Intelligence (AI) Application and platform integration.

Elastic shares were up 15% in afternoon trading to around $108, paring year-to-date losses to around 4%. Friday’s gains come after the stock had been weighed down this year by segmentation changes that resulted in fewer customer contracts.

Below, we take a closer look at Elastic’s diagram and use technical analysis Identify key post-earnings price levels to watch.

Downtrend Channel Breakout

Elastic stock trades in eight months Descending channel The index broke above the pattern’s upper trendline on Thursday, ahead of the company’s quarterly results. Importantly, the rise occurs at the highest point trading volume Since late August, this suggests that some market participants have prepared for better-than-expected earnings reports.

Friday’s earnings-driven gains added to the stock’s near-term bullish price momentum, but also triggered severe overbought conditions Relative Strength Index (RSI) Reading, this could lead to near-term profit taking.

Let’s identify two key management areas on the Elastic chart that investors may be concerned about, and point out the major support level Monitor during retracement.

Key overhead areas to focus on

The first level of spending worth watching is around $118. Given that the area is close to several volatility high The chart was formed between December 2023 and July this year.

A convincing close above this level could serve as a catalyst for a move towards the $133 area, which is where investors might be looking for on the chart exit point It’s approaching a range of trading levels just below the stock’s 2024 highs.

Major support levels to watch

period callbackinvestors should pay attention to the stock’s price reaction to the $94 level. The area may find support near two famous figures trough formed nearby 200-day Moving Average (MA) April and May.

Finally, a break below this level could see the stock price revisit lower support near $82. This area is currently above the 50-day EMA, and there may be buying interest approaching the upper limit of the 50-day EMA. merge The period formed on the chart last September and October.

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As of the date of this writing, the author did not own any of the securities mentioned.