Crypto Crusader here for another blue chip analysis.
Electronic Arts, alongside other major game publishing stocks has been on a steady decline after creating new all time highs. Free to play Fortnite while still growing, has taken a decent share of their customer population, based on the free to play aspects of Fortnite, along with the fact that Fortnite caters to a younger audience with an ever changing landscape throughout each season of the game. Electronic Arts hopes to gain customer support after releasing their new game, "Apex Legends." Regardless of the the IP (intellectual property) that "EA" and other companies a like will release in the near future of the coming years, the charts do look fairly promising for a strong setup for one more leg up to create more symmetry on the chart.
"EA" has yet to breach its lower long term trend line, on top of that a divergence in "RSI" following a decline in price makes this stock look great. We can see that weekly RSI for a moment dipped under 30 , to 21, becoming very oversold, creating a breakout alongside their new title. On top of this, the "MACD" had a convergence while at the same time being at its all time low historically for this stock. A final kicker for this entire trade is that on a weekly basis, EA had its largest weekly volume ever since around 1990, however, given the price of EA in 1990 was not even comparable, I would go on a limb and say this new weekly volume bar is actually the single most traded week in the history of the stock based on multiplying the current price by the total shares traded.
Good luck, and happy trading!
Crypto Crusader
Electronic Arts, alongside other major game publishing stocks has been on a steady decline after creating new all time highs. Free to play Fortnite while still growing, has taken a decent share of their customer population, based on the free to play aspects of Fortnite, along with the fact that Fortnite caters to a younger audience with an ever changing landscape throughout each season of the game. Electronic Arts hopes to gain customer support after releasing their new game, "Apex Legends." Regardless of the the IP (intellectual property) that "EA" and other companies a like will release in the near future of the coming years, the charts do look fairly promising for a strong setup for one more leg up to create more symmetry on the chart.
"EA" has yet to breach its lower long term trend line, on top of that a divergence in "RSI" following a decline in price makes this stock look great. We can see that weekly RSI for a moment dipped under 30 , to 21, becoming very oversold, creating a breakout alongside their new title. On top of this, the "MACD" had a convergence while at the same time being at its all time low historically for this stock. A final kicker for this entire trade is that on a weekly basis, EA had its largest weekly volume ever since around 1990, however, given the price of EA in 1990 was not even comparable, I would go on a limb and say this new weekly volume bar is actually the single most traded week in the history of the stock based on multiplying the current price by the total shares traded.
Good luck, and happy trading!
Crypto Crusader