- Qualcomm Stock (NASDAQ: QCOM) hits a fresh 52 week low at $101.47.
- The Qcom stock price is in downtrend and trying to test the 50 day EMA.
- Qualcomm Inc reported an EPS of $2.15 and revenue of $9.26 Billion.
Qualcomm Stock Price (NASDAQ: QCOM) showed a sharp bounce of 6% in the previous session after hitting the fresh 52 week low. From the past few weeks, Qcom Stock is consolidating in a narrow range between $101.00 to $109.00.
In the recent up-move buyers had tried to break the higher range and expand upward but the confirmation is still awaited.
QCOM Stock price is approaching the 50 day EMA which will act as an immediate hurdle for the bulls. The price is far away from the 200 day EMA shows that the positional trend is in downward direction.
Any short term up-move will face difficulty to sustain the higher levels. The surge in the buying volume is visible which shows that buyers are trying to defend the $100.00 mark. Moreover, if the upward momentum continues and price breakout of the $113.00 hurdle then we may expect short term trend reversal.
Qualcomm Stock Price closed the previous session at $110.35 with an intraday rise of 6.09%. The market capitalization stands at $122.93 Billion. In the past few months Qcom stock has not performed well and corrected 20% approx from the swing high at $128.00. It shows that sellers are active and dominating on the higher levels.
Is the jump in Qualcomm Stock temporary?
Qualcomm Stock price opened gap down on May 3, 2023 after the release of previous quarter earnings. However, the price still holds the $100 mark shows it will be difficult for sellers to pull prices further down.
Qualcomm Inc reported an EPS of $2.15 and revenue of $9.268 Billion which is above the estimates. Despite that, stock prices reacted negatively and dragged down to yearly lows.
The recent jump is the attempt to recover the losses and to reverse the trend. If the buyers succeed to climb above the 50 day EMA then the prices might rally to $128.00. On the other hand, Qcom stock faces rejection from EMA, then the up-move might be temporary and again reverse downward.
Will the trend reverse in Qcom Stock
Qcom Stock Price formed a bullish engulfing candle on a weekly time frame which increases the possibility of trend reversal. The broader market index Nasdaq Composite is also recovering well and likely to give the breakout of the swing high hurdle.It will improve the overall market sentiment and might positively impact the Qcom Stock.
The technical indicators like MACD have generated a fresh positive crossover and histogram is rising. It indicates that bullish momentum may continue in coming weeks. The RSI curve at 52 sloping north denotes strength and bulls are returning back.
Conclusion
Qualcomm Stock Price (NASDAQ: QCOM) showed a decent bounce after hitting the yearly lows. The Qcom stock price seems to be in the initial phase of trend reversal but confirmation is awaited. The technical analysis suggests, The recent up-move in Qcom stock looks sustainable and more upward momentum is possible.
Technical levels
Resistance levels: $113.00 and $128.00
Support levels: $101.00 and $95.00
Disclaimer
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