CHEF Price Reclaims the 50-day EMA, Will it Retest 100-day EMA?

• The CHEF price is currently trading at $23.84.
• The stock chart reflects the bullish presence in the current scenario.

The Chiefs Warehouse (NASDAQ: CHEF) is a specialty food products distributor company that was incorporated on 1 January 1985 by Christopher Pappas. The company offers a variety of food products such as Beverages, Dairy products, Seafood, Meat, and Baking and pastry products.

The Chefs Warehouse (CHEF) Stock Price Analysis

The CHEF stock price declined by 58.29% ever since it created a 13-week high by leaving a gap zone in the upper levels. The fall in price halted at the $17.25 support zone.

The CHEF price has shown a remarkable recovery of 37.35% from its recent swing low. The recovery price gave the breakout of the double-bottom pattern with a high buying volume. It denotes the investors have invested their money at a lower price and are expecting an outperformance in the future.

Currently, the CHEF price is initiating a bull run and is trading at $23.84 with an intraday gain of 0.51% in the last trading session. It traded with a 24-hour trading volume of 942.106K and has a market capitalization of 945.63 Million USD.

Will the Bull Run Rise Above the $24.65 level?

The CHEF price has initiated a strong bull run with a high buying volume. It has reclaimed the 50-day EMA line and is currently trading above the EMA line. It shows the buyers have taken half of the control from sellers and raised the price towards the 100-day EMA in the upcoming days.

The relative strength index is at 67.42 level, which is a bullish territory. The upward showing of the RSI line shows ongoing high buying pressure. Thus, the price may break above the $24.655 resistance zone as the RSI still has little space left in the upward direction. It may only happen if a follow-up momentum comes in favor of buyers.

A Strong Bullish Candle Formation by CHEF Price

The CHEF stock has formed a strong bullish candle supported by a high buying volume in the weekly timeframe. In addition to it, 50-day EMA and 100-day EMA lines are above the price but quite far from it. Thus, the stock rise may continue in the upcoming trading days.

The breakout of the $24.65 resistance zone will trigger the continuation of the short-term bull run. The price can reach its next resistance at $28.74.

On the lower levels, the price sustaining above the $19.92 level will maintain the bullish in the CHEF chart. The breakdown of that level can create a panic selling among the buyers. It can lead to a fall in price to the next support at $17.25. If the price also breaks below that support, it may fall to its next support at $14.14.

Conclusion

The CHEF stock price prediction is bullish at press time. As long as the price maintains to sustain above the $19.92 support zone, the bulls will be controlling it. The daily chart and weekly chart have shown strong bullish price movement and signs of a continuation of a bull run. Thus, it might continue its rally to its resistance at $28.74.

Technical levels

Resistance Levels: $24.65 and $28.74

Support Levels: $19.92, $17.25, and $14.14

Disclaimer

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