Chart of the Week: SoFi Technologies
Good morning everybody. Good to be with you. Time for our chart of the week, and this week we’re gonna be focused in on SoFi Technologies: SOFI is the symbol on this one. Let’s take a look at this chart. It’s pulled in a little bit nicely here for the past few days, and it might be a good opportunity to add some shares. So let’s take a look at the chart here.
So we see, the stock has really been basically unimpeded since that April low. Look at that move from about $4-5 all the way up to about $30 just a couple of weeks ago.
The stock got to an overbought level, much like it did in the early-mid part of July and has pulled back for a modest correction.
It broke that 20 day moving average, you can see right here this dotted line. And it’s heading down to the 50 day moving average, which is where the lower Bollinger band also resides. And we think that this is going to be some good support right there, at about the $24 level. So maybe you want to throw on a small position here, and then maybe add some more down there at around that $24 level. It’s about $26 and change right now. It’s come down about 10% from the recent highs.
Relative strength still in pretty good shape.
MACD – yes it’s rolled over, but it’s only rolling over from an overbought condition.
On balance volume has been very, very strong. This is a good momentum indicator here, and we can tell that big institutional money continues to pile into the name.
We saw some big volume prints back in late July and also in the middle of August. So some good volume prints from when the market was somewhat sloppy, but the SoFi money was still coming into SoFi.
So where do we think the stock can go?
Probably make a run back to those old highs around $30 in the next few weeks, especially with earnings season coming along here rather quickly.
And I think eventually this stock can make a run up to $34-36, maybe in about 4-6 months.
So take a look at SoFi; SOFI. We really like the chart here. We’ve had some good option flows as well in this name.
So take a look at SoFi.
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