- Palantir Stock price jumped 14% after Cathie Wood’s ARK Investment purchased shares in bulk.
- PLTR Stock Price attempts to break the 52 week high.
- Palantir Technologies (NYSE: PLTR) stock up 50% on a monthly basis.
Palantir Stock (NYSE: PLTR) jumped 14% approx in a single day after Cathie Wood’s ARK Investment purchased 1.2 Million shares. PLTR Stock witnessed a sharp rise in price as well as in volume.
ARK Investment added shares through ARK Innovation ETF, ARK Fintech Innovation ETF and ARK Next Generation Internet ETF. The shares are worth $13 Million. Recently, Palantir Technologies reported the quarterly earnings which was quite surprising for long term investors. Company beat the EPS estimate by 26.14% and the revenue estimate by 3.83%.
The Palantir stock price reacted positively and breakout of the important swing high hurdle at $9.00. It triggers the positive sentiment and after a few days of consolidation the one more wild up-move is visible.
PLTR Stock hit a fresh 52 week high at $11.81 and is likely to display a golden crossover. Palantir Stock price closed the previous session at $11.74 with an intraday rise of 14.54%. The market capitalization stands at $24.86 Billion. The recent purchase by ARK Investment has boosted the confidence of its existing long term investors.
Ark Investment is reason behind the rally in Palantir Stock
Palantir Stock Price up by 50% on a monthly basis and formed a highly bullish pattern. The trading volume is continuously on a rise and prices also follow the same direction. It shows the strength of bulls and more upward momentum is possible.
If the buyers succeed to hold the price above $11.00 then we might see the rally to continue to $13.36. However, If PLTR stock faces rejection then price might retrace downward to test the EMAs.
Till price sustains above the EMA any short term correction will have a high probability of bouncing back. The technical analysis suggests, PLTR Stock price is bulls grip and ARK Investment purchases have fueled the rally.
PLTR Stock price near to overbought territory
PLTR Stock turned bullish on a multiple time frame and showed sharp recovery from the demand zone. Previously, it consolidated for more than 6 months in a narrow range which can be interpreted as long term base formation.
Recently, it expanded upside and bulls seem to be dominating on the higher levels. The breakout looks reliable and price is likely to hold the higher levels.
The MACD indicator has generated a positive crossover and histogram bar is on rise. It represents that bullish momentum is likely to continue for some more time. The RSI at 79 near to the overbought territory which may raise concern for the short term traders.
Conclusion
Palantir Stock (NYSE: PLTR) jumped 14% in a single day after the bulk purchase of shares by ARK Investment. PLTR Stock hit a 52 week high and formed a highly bullish pattern. The technical analysis suggests PLTR stock is in bulls grip and any short term correction will have high probability of bounce back.
Technical levels
Resistance levels : $11.62 and $13.36
Support levels : $10.00 and $7.20
Disclaimer
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