Intel shares rose again on Tuesday, surging over 12% last week as investors bid up the stock following a strategic update and ongoing deal rumors. The company announced plans to spin off its venture fund as a standalone entity while remaining an investor in an effort to improve efficiency across the business.
The bullish engulfing pattern formed near the early-September low sets the stage for a potential double bottom, indicating a positive shift in investor sentiment. Last week’s rally occurred on the highest weekly volume since early December, showing buying conviction from larger market participants.
Investors should follow crucial overhead levels around $25, $30, and $37, while also tracking a key support level near $19. A bullish price action could propel the shares up to $37, but they may run into selling pressure near the 200-day moving average.
A double bottom is possible if the bulls can defend recent gains. Investors who chase bottoms should look for buying opportunities around the September and January troughs. The company’s stock has lost more than half its value over the past 12 months amid investor skepticism about its ability to capture a greater share of the booming AI chip market.
Key takeaways include:
* Intel shares surged over 12% last week
* A bullish engulfing pattern sets the stage for a potential double bottom
* Crucial overhead levels to watch are $25, $30, and $37
* Key support level is near $19
Source: https://www.investopedia.com/watch-these-intel-stock-price-levels-as-chipmaker-continues-to-rally-8777550