Buz Investors ATVI Stock Is Soaring (NASDAQ:ATVI) stock has finally shown up to the party, and in spectacular fashion, I might add. I had outlined in my previous article about this company, “Activision Blizzard, Inc.: If ATVI Stock Does THIS, the Sky’s the Limit,” that Activision stock was lagging the general market indices.
I also explained in my previous publication about this stock that, even though relative weakness is a bearish indication, Activision shares were testing an important level of support and that if a certain criterion was met, this could spell the beginning of an impressive run to the upside.
I was not disappointed with the outcome that followed, as ATVI shares surged to create a new high after the company reported impressive earnings results.
The price action that followed the test of support was orderly and constructive, which served to suggest that higher prices were set to follow. Orderly and constructive price action consists of impulse waves that advance a price, and consolidation waves that serve to alleviate overbought conditions and set up the next advancing impulse wave.
This wave structure began in early December 2016, and it implied that the price was going to overtake the 200-day SMA.
potential target for ATVI stock, I would have to point back to the ascending channel and suggest that the upward-sloping level of resistance is a logical price objective. It is difficult to pinpoint an exact level because, as time progresses, this level continues to move higher due to its upward slope, but I can safely say that resistance is currently much higher than current prices.
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