Stock of the day: Qualcomm

In today’s stock of the day, we turn to Qualcomm, which is showing a promising technical setup. Back in mid-December, Qualcomm broke below a key support level at $154, marked with a blue line. This breakout initially seemed bearish, with the movement highlighted by a red rectangle, but it turned out to be a false breakout as the price quickly recovered and climbed back above this critical level.

Positive Test of Support

At the end of 2024, Qualcomm revisited the $154 support and successfully tested it. The bounce from this level confirmed its strength as a support zone and signaled the start of an upswing, shifting the sentiment to positive.

Next Resistance Levels

With the buy signal in place, Qualcomm now faces two significant resistance levels:

• The green resistance at $166, which is the next immediate target for the bulls.
• A breakout above $166 would pave the way for a move toward the orange resistance at $177, offering further upside potential.

Outlook

As long as the price stays above the blue support level, the sentiment remains bullish. A daily close below this level, however, would invalidate the current buy signal and shift the outlook to bearish.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-qualcomm-5