Chart of the Week: Vertiv Holdings
Hey, good morning everybody. Happy Wednesday. It’s time for our chart of the week, and we’re gonna be focused in on Vertiv Holdings; symbol VRT. Vertiv Holdings is an American multinational provider of critical infrastructure and services, data centers, communication networks for commercial/industrial environments often tied to energy and some of the data centers that need to be built, and also a little bit tied into NVIDIA, too.
So let’s take a look at Vertiv. It’s an interesting looking chart here after coming off those lows in April.
What caught my eye here? It’s this move down to the 50 day moving average. This the blue line right here. And each time that it’s come down here the last couple of times to test that 50 day moving average, the stock has bolted higher – from here up to there a little bit and from here all the way up to there – to reach an overbought reading.
MACD is still in the negative territory right now but we can understand why, because the stock has pulled down off of the all-time highs, which is about $155. Nearly matched it from back in January.
The on-balance volume – take a look at this over here. This is still rather nice and high.
Volume trends have been pretty bullish over the past six weeks or so. We can see the average volume has been picking up as the stock has been moving higher. That’s also very positive.
We see good strength in the RSI. Starting to turn up at that 50 level, which, the last couple of times it turned up at that 50 level, it was quite bullish. We can go back over here from the late part of 2024 to the early part of 2025, it was a positive element.
So where do we think that Vertiv can go? I think that if we can get past this resistance here – resistance comes in at around $140 – get past $140 – I think if we can get a move up past there, come back, test that downward sloping channel, and then come back up there, move all the way up there, maybe up to $170 before the end of the year. So that’s where I think Vertiv is going to go.
Again, technicals are just starting to improve here. Good on-balance volume. Relative strength is starting to turn back up. And I think over the next couple of weeks we’ll see that MACD start turning up as well.
So that’s Vertiv.
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