Company: SolarEdge Technologies
Ticker: SEDG
Exchange: NASDAQ
Sector: Technology
Introduction:
Hello, and thank you for joining me for this technical analysis. Today, we're examining the weekly scale chart of SolarEdge Technologies (SEDG), with particular focus on an intriguing pattern within a pattern – a shorter-term Rectangle nested within a longer-term Rectangle.
Rectangle Pattern:
The Rectangle pattern, which can serve as a continuation or reversal signal, is formed when the price fluctuates between parallel support and resistance levels. The pattern's resolution, and hence the direction of the trend, is determined by the direction of the breakout.
Analysis:
SolarEdge's price has been moving within a defined range for 924 days or ~30 months, forming a Rectangle pattern. The upper boundary of this larger Rectangle is at approximately $375 (with three touch points), and the lower boundary is at around $200 (with four touch points). The price is currently above the 200 EMA, which implies a bullish market environment.
Interestingly, within this longer-term Rectangle, a shorter-term Rectangle has formed over the last 161 days. A breakout from this shorter-term pattern could potentially offer an early entry opportunity.
Should we observe a breakout above the upper boundary of the larger Rectangle, the price target would be $548. This represents a potential gain of approximately 46%.
Conclusion:
The weekly chart of SolarEdge Technologies presents an exciting scenario, with a shorter-term Rectangle nested within a longer-term Rectangle. A breakout from the smaller pattern could provide an early entry, while a breakout from the larger Rectangle might confirm a continuation of the bullish trend.
As always, please remember this analysis does not constitute financial advice. It's essential to conduct your own research and consider risk management strategies when investing.
If you found this analysis insightful, please like, share, and follow for more updates. Happy trading!
Best regards,
Karim Subhieh
Ticker: SEDG
Exchange: NASDAQ
Sector: Technology
Introduction:
Hello, and thank you for joining me for this technical analysis. Today, we're examining the weekly scale chart of SolarEdge Technologies (SEDG), with particular focus on an intriguing pattern within a pattern – a shorter-term Rectangle nested within a longer-term Rectangle.
Rectangle Pattern:
The Rectangle pattern, which can serve as a continuation or reversal signal, is formed when the price fluctuates between parallel support and resistance levels. The pattern's resolution, and hence the direction of the trend, is determined by the direction of the breakout.
Analysis:
SolarEdge's price has been moving within a defined range for 924 days or ~30 months, forming a Rectangle pattern. The upper boundary of this larger Rectangle is at approximately $375 (with three touch points), and the lower boundary is at around $200 (with four touch points). The price is currently above the 200 EMA, which implies a bullish market environment.
Interestingly, within this longer-term Rectangle, a shorter-term Rectangle has formed over the last 161 days. A breakout from this shorter-term pattern could potentially offer an early entry opportunity.
Should we observe a breakout above the upper boundary of the larger Rectangle, the price target would be $548. This represents a potential gain of approximately 46%.
Conclusion:
The weekly chart of SolarEdge Technologies presents an exciting scenario, with a shorter-term Rectangle nested within a longer-term Rectangle. A breakout from the smaller pattern could provide an early entry, while a breakout from the larger Rectangle might confirm a continuation of the bullish trend.
As always, please remember this analysis does not constitute financial advice. It's essential to conduct your own research and consider risk management strategies when investing.
If you found this analysis insightful, please like, share, and follow for more updates. Happy trading!
Best regards,
Karim Subhieh
KSC
