Palantir Technologies shares are expected to be in focus on Monday after the company was added to the Nasdaq 100 Index. The move comes as the stock has more than quadrupled since the start of the year, driven by growing demand for its customizable artificial intelligence offerings.
The stock’s inclusion into the index follows a strategic move to the Nasdaq from the New York Stock Exchange (NYSE) last month. Analysts note that Palantir shares have been trending sharply higher since breaking out of a multi-year cup and handle pattern in August, supported by increased trading volumes indicating buying participation from larger market participants.
However, some caution is warranted due to the stock’s overbought conditions, as indicated by the relative strength index (RSI) above 80. This could lead to near-term price fluctuations.
A bullish price target can be projected using the measuring principle, a chart-based technique that analyzes the cup and handle pattern to forecast a future move. According to this method, adding 383% to $29 projects a target of $140.07, approximately 85% above Palantir’s closing price on Friday.
Investors are advised to watch key lower levels on the stock’s chart at $45 and a zone of support between $33 and $29.
Source: https://finance.yahoo.com/news/watch-palantir-price-levels-stocks-030336778.html