IBM Paves The Way To Move Higher

by at FXTM.
Tran Dai Phat
Tran Dai Phat

IBM (NYSE: IBM) on the Daily Chart has been in an uptrend since 28 October 2020 when it registered the low price at $105.9. This was followed by a series of higher tops and higher bottoms and on 6 January 2021 the IBM stock recorded the high price of $131.86.

By applying Oscillator Analysis to the price chart one can see that price is trading above the SMA 60 period Moving Average line, a fact which confirms the stock’s upward direction.

Technical Analysis

The Moving Average/Convergence Divergence (MACD) Oscillator is recording values above the zero line which hints to the bullish bias of the financial instrument.

Additionally, the Relative Strength Index (RSI) Oscillator registers values above the fifty line which indicates positive sentiment. All three technical indicators agree with the upward bias of the stock.

Three price targets may be calculated upon applying the Fibonacci tool to the price chart as follows:

  • The first is estimated at $131.34 (161.8%).
  • The second at $137.30 (261.8%).
  • The third is projected at $146.95 (423.6%).

While the first target has already been breached, the IBM shares are currently trading above the uptrend line. Of course, supply and demand as well as the crowd sentiment will determine the future course of the shares.

IBM Daily 12th Jan 2021

For more information, please visit: FXTM

Disclaimer: This written/visual material is comprised of personal opinions and ideas. The content should not be construed as containing any type of investment advice and/or a solicitation for any transactions. It does not imply an obligation to purchase investment services, nor does it guarantee or predict future performance. FXTM, its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability for any loss arising from any investment based on the same.

Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

FXTM is a top-rated forex and CFD broker. The company is secure and regulated by leading authorities, including the FCA and CySEC. Offering 1000+ markets and three account types, they cater to all levels of trader.