Watch These Robinhood Price Levels as Stock Hits 3-Year High After Upgrade | Global News Avenue

Stocks on the Robinhood Market (hood), following Morgan Stanley, may still be on investors’ radars on Tuesday Upgrade inventory and significantly improved its price targetsaying the company is well-positioned to benefit from the outcome of the U.S. presidential election.

The investment bank raised its price target on the stock to $55 from $24 and said it could lower Cryptocurrency Regulation The incoming Trump administration will establish an active retail trading environment in 2025. The bank added that the economic recovery mergers and acquisitions Activities, and more initial public offering Also supports increased income generating activities.

Robinhood shares have nearly tripled since the start of the year as of Monday’s close, helped by a recovery in trading revenue and an expanded product range. The stock rose more than 3% in regular trading on Monday, hitting a three-year high, before falling 1.2% to $37.40 in after-hours trading.

Below, we provide a detailed analysis of Robinhood’s technology Weekly chart and identify important price levels to watch.

Overbought RSI indicator

After the breakthrough triple bottom In February, Robinhood’s stock price had been rising sharply for most of the year, save for a brief blip. retracement The 50-week moving average (MA) during the broad market period in early August and the pattern’s upper trendline sell off.

Although Relative Strength Index (RSI) Readings above 70 confirm bullish price momentum, the indicator is also flashing overbought The stock’s condition may trigger short-term profit-taking.

Let’s look at some key points support and resistance Levels on Robinhood charts that investors might be watching.

Important support levels to monitor

After the initial pullback, investors should focus on the $24 area. This area on the chart may attract buying interest around the famous June and July months peak. The move would represent a roughly 40% decline from this week’s high, similar to the stock’s summer decline. pull back.

Selling below that level could lead to a return to lower support around $20, an area on the chart that investors can seek entry point Approaching April high swing and an upward sloping 50-week MA.

Key resistance levels to watch

Continued bullish price momentum could see shares initially rise to around $45, a point on the chart where the price could encounter near-minor selling pressure. Contrary to the trend Stock price steepens early peak downtrend From August 2021 to June 2022.

Finally, a close above this level could lead to a test of the key $60 area. Investors who bought the stock at a lower price might consider trading closer to mental roundswhich is also closely related to the stock’s high price after the third week of trading Listed Mid-2021.

The reviews, opinions and analyzes expressed on Investopedia are for informational purposes only. read our Warranty and Disclaimer Learn more.

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