A very strong day for Super Micro Computer stock price on Tuesday

The Super Micro Computer stock price gained 10.60% on the last trading day (Tuesday, 16th Apr 2024), rising from $882.75 to $976.30. During the last trading day the stock fluctuated 9.90% from a day low at $893.00 to a day high of $981.44. The price has fallen in 6 of the last 10 days and is down by -3.33% for this period. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 3 million more shares were traded than the day before. In total, 7 million shares were bought and sold for approximately $6.79 billion.

On Apr 16, 2024, it was reported that Wedbush gave SMCI a "Underperform" grade with a "hold" action.

The stock lies in the lower part of a very wide and strong rising trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $892.58 is broken, it will firstly indicate a slower rate of rising, but may also be an early warning for a trend shift.Given the current short-term trend, the stock is expected to rise 75.78% during the next 3 months and, with a 90% probability hold a price between $1,568.98 and $2,485.96 at the end of this 3-month period.

There are mixed signals in the stock today. The Super Micro Computer stock holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the stock giving a more negative forecast for the stock. On further gains, the stock will meet resistance from the long-term Moving Average at $997.64. On a fall, the stock will find some support from the short-term average at $919.44. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. A sell signal was issued from a pivot top point on Wednesday, March 13, 2024, and so far it has fallen -17.82%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume is rising along with the price. This is considered to be a good technical signal.

Super Micro Computer finds support from accumulated volume at $975.52 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved $88.44 between high and low, or 9.90%. For the last week, the stock has had daily average volatility of 5.98%.

Super Micro Computer holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock.Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Sell candidate.