Xpeng (XPEV) stock has been in a strong uptrend since the start of June, rising from the low of $7.60 marking the annual high at $23.62. The stock price surged roughly 207% from the low.
The stock price could not rise above $24 and the move was halted after the formation of annual high. Bears entered into the market and push price causing a correction. Recently, XPEV stock formed a support at the $14.40 level.
The stock price has been hovering below the $17 mark for several days and the last candle was successful in closing above it. If the next candle can break the high of the last candle and followup momentum occurs, the price might retest $20 and rise further toward the annual high.
On the other hand, if the breakout turns out to be fakeout and the next candle breaks the low of last candle, it might re enter the previous zone and hover below $17.
Quarterly Result Of Xpeng
On August 18, Xpeng reported its second quarter financial results. The company beat revenue estimates but failed to surpass the earning per share (EPS) estimates.
The consensus estimated the revenue to be $697.032 million while it turned out to be $697.943 million. The earning per share was estimated to be -$0.302 while the company reported -$0.448, a surprise of -$0.146.
XPeng delivered 23,205 vehicles in the second quarter, up 27.3% from the previous quarter and down 32.6% yearly basis. For the third quarter, Xpeng expects deliveries in the band of 39,000 – 41,000, signaling an increase of 31.9%-38.7%.
Will XPEV Stock Price Rise To $20?
The stock price has jumped above 20,50,100 and 200-day exponential moving averages, suggesting bullish momentum. Chaikin money flow has dropped to 0.01 mark indicating slight strength in the market.
The relative strength index has crossed neutral territory and stands at 56.38, indicating bullish momentum in the price. If the breakout sustains, the price might reach near $20. The bollinger bands have expanded, indicating increase in volatility.
XPEV stock price has crossed above the 20-day simple moving average and is headed toward the upper band which resides near the $20 resistance level.
Conclusion
The market structure and price action of XPeng is bullish as the previous candle has also performed a breakout above $17. Technical parameters also support the price action.
Technical levels
Support Levels: $14.40 and $13.60
Resistance Levels: $23.50 and $20
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.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/08/27/xpeng-xpev-stock-good-time-to-buy-the-dip-of-xpev-stock/