Palantir Technologies Inc., PLTR stock price faced rejection from $18.00 and reversed in the downward direction. It declined by forming lower-low candles and showed initial signs of a bearish trend reversal.
Palantir stock price retraced down to the 50-day EMA. It showcases that the sellers are trying their best to change the short-term trend. However, till the price sustains above the 200-day EMA the positional trend still remains upward.
In the last two months, PLTR stock price consolidated in the range between $13.63 to $16.00.
Luckily, at the beginning of October, buyers succeeded in breaking out of the $16 hurdle with a strong buying volume. It created a positive hope for the long-term investors and prices gained 15% (approx.) in just two sessions.
Palantir stock price hit a swing high of $18.44 and consolidated for some time in the narrow range. Later, prices witnessed minor profit booking and retested the breakout level.
If Palantir Technologies, Inc.’s stock price drops below $16.00 then the previous breakout will fail and correction will begin. In the previous session, the stock closed at $16.11 with an intraday decline of -5.57%.
Will Palantir– PLTR Stock Price Decline to $14?
PLTR stock price displayed a bearish pattern and seems like short-term buyers are booking their profits ahead of results.
Palantir Technologies Inc. is expected to release its quarterly earnings on November 2, 2023. Market analysts estimated an EPS of 0.056 and revenue of $555.709 Million. If the company succeeds in meeting estimates then a downfall in the stock might take a halt near $15.00.
On the other hand, if the company disappoints, then the lower range support of $13.63 will be at high risk. The technical analysis suggests PLTR stock price is in bears’ grip so 10% to 15% more downside is possible before earnings.
Palantir Stock Price is Volatile
Palantir stock price fell 7.20% in the previous week and formed a bearish hammer candle.
Quarter Earnings are near so the volatility in the PLTR share price may rise. Therefore, investors need to be careful and wait for the downfall to come to a halt before creating any long positions.
Whereas, the short-term shorts sellers may take bearish bets in the current trend to earn a few bucks.
Conclusion
Palantir Technologies Inc., PLTR stock price reverses down and witnesses minor profit booking ahead of earnings. The analysis suggests, the correction begins in the Palantir stock so 10% to 15% more downside is possible before earnings.
Technical levels
- Resistance levels: $18.44 and $20.27
- Support levels: $13.63 and $12.00
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/10/23/palantir-stock-correction-begins-in-pltr-stock-ahead-of-results/