Possible Bullish Inside Day Candle Pattern Detected for Mellanox Technologies (NASDAQ:MLNX)
SmarTrend's candlestick scanner has spotted a possible bullish inside day candle pattern in Mellanox Technologies (NASDAQ:MLNX) based on the price action in the company's shares. Yesterday's price range of $47.90 and $48.85 is within the prior day's high and low of the day. This trading action often signifies indecision by bulls and bears to drive prices higher or lower and often implies a possible change in trend. Traders and investors interested in shares of Mellanox Technologies may want to consider an appropriate entry level in the event a reversal to the upside transpires. It is important to look for confirmation.
There is potential upside of 22.7% for shares of Mellanox Technologies based on a current price of $47.94 and an average consensus analyst price target of $58.85. The stock should hit resistance at its 50-day moving average (MA) of $50.56, as well as support at its 200-day MA of $45.03.
Mellanox Technologies Ltd. designs and develops semiconductor-based, high-performance interconnect products. The Company's products facilitate data transmission between servers and storage systems through communications infrastructure equipment.
In the past 52 weeks, Mellanox Technologies share prices have been bracketed by a low of $24.51 and a high of $120.05 and closed yesterday at $47.94, 96% above that low price. Over the past week, the 200-day moving average (MA) has gone down 0.3% while the 50-day MA has declined 0.8%.
SmarTrend recommended that subscribers consider buying shares of Mellanox Technologies on May 24th, 2016 as our proprietary SmarTrend analytics indicated a new Uptrend was in progress when shares hit $45.40. Since that recommendation, shares of Mellanox Technologies have risen 5.3%. We continue to monitor MLNX for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: bullish am inside day candle mellanox technologies