MicroStrategy stock price is in a consolidation phase, crossing neither its resistance nor support levels on the daily time frame. The stock is range bound between the level of $315 and $350.00.
Moreover, the technical chart suggests that the buyers and the sellers are not in control of the trend as the stock price is in the consolidation phase. Investors and traders should wait for the proper setup for their next move.
Furthermore, in the last trading session, the bulls looked more aggressive, overpowering the bears after surpassing the hurdle of 50 EMA level. Now the faith in the trend depends on whether the price can sustain above the key EMA levels.
MSTR stock needs an influx of buyers to sustain above the upper resistance level. Moreover, at press time, Microstrategy stock price was $342.35 with an intraday rise of 4.01% showing the bulls’ presence in the stock price. The stock price is trading with an intraday volume of 535.578K. The average trading volume of the last 10 days is 516.701K while the market cap is $4.823 Billion (press time).
The MSTR stock gave returns of 135.02% year to date; and 15.14% in the span of 6 months. However, the stock has shown weakness in recent times – giving returns of -0.51% last month, and -2.19% in the last 7 days.
Will Microstrategy Stock Price Sustain Above Key EMAs?
Microstrategy stock price must initiate its recovery rally to reach the upper threshold of the consolidation phase. However, the Microstrategy shares need to accumulate buyers in order to surge towards its recovery phase. Meanwhile, the Microstrategy share price has jumped above the 20, 50, 100, and 200-day daily moving averages.
Technical indicators highlight the consolidation phase of the Microstrategy stock price. Relative strength index (RSI) showcases the sideways momentum of Microstrategy shares. RSI was at 52.03 and is heading towards the overbought territory.
MACD exhibits the consolidation phase of the Microstrategy share price. The MACD line is flat above the signal line heading towards the median line. Investors in Microstrategy stock need to wait for any directional change over the daily time frame chart.
Summary
On the daily time frame chart, the Microstrategy stock price has been consolidated between the horizontal price bands of $315.05 and $350.74. However, in order to accelerate towards its recovery phase, Microstrategy shares needs more purchasers. Technical indicators point to a period of price consolidation for the MSTR stock. Investors must watch the daily time frame chart for any directional changes.
Technical Levels
Support Levels: $315.05 and $300.00
Resistance Levels: $350 and $390
Disclaimer
The analysis provided in this article is for informational and educational purposes only. Do not rely on this information as financial, investment, or trading advice. Investing and trading in stock involves risk. Please assess your situation and risk tolerance before making any investment decisions.
Source: https://www.thecoinrepublic.com/2023/10/20/microstrategy-stock-mstr-stock-under-consolidation-what-next/