Super Micro Computer (SMCI) shares moved higher in premarket trading on Tuesday after tumbling yesterday following news that the stock will be 澳洲幸运5官方开奖结果体彩网:removed from the Nasdaq 100 Index and reports that the embattled server maker is exploring ways to 澳洲幸运5官方开奖结果体彩网:raise capital.

The stock has had a volatile year, rising to a closing high of $119 in March on the back of 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI)-driven demand before plummeting in mid-November to around $18 following fears of a potential Nasdaq 澳洲幸运5官方开奖结果体彩网:delisting after acc🔯ounting anomalies led to delayed finℱancial reporting. 

Over the past month, Supermicro shares have recovered 80% after the company hired a new auditor and secured a 澳洲幸运5官方开奖结果体彩网:filing extension until Feb. 25, but have lost nearly a quarter of their value in the last five tr𒀰ading sessions as investors assess the company’s outlook.

The stoc✨k was up 2% at around $34 in recent premar🌠ket trading.

Below, we take a closer look at Supermicro’s chart and apply 澳洲幸运5官方开奖结果体彩网:technical analysis to identify imporꦿtant price level worth watching ouඣt for.

October Gap Fill

Microcomputer shares initially ran into selling pressure last week after rallying nearly two-fold from last month’s low to fill a late October gap.

More recently, selling has intensified, with the stock’s price staging a decisive close below the 澳洲幸运5官方开奖结果体彩网:50-day moving average on Monday. The 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) confirms wea൩kening price momentum, with the indicator flashing 🍎a reading below 50 for the first time since late November.

Let’s point out important 澳洲幸运5官方开奖结果体彩网:support and resistance levels th♌at that may attract investors’ interest.

Major Support Levels to Watch

Follow-through selling could see Supermicro shares fall to around $26, a level on the chart where they may encounter support near a 澳洲幸运5官方开奖结果体彩网:countertrend peak during the stock’s early-November sell-off.

A 澳洲幸运5官方开奖结果体彩网:breakdown below this level opens the door for a retest of the $18 level. This location on the chart would likely attract buying interest near last month’s prominent 澳洲幸运5官方开奖结果体彩网:swing low, particularly if other 澳洲幸运5官方开奖结果体彩网:indicators simultaneously signal oversold conditions in the stock.

Crucial Resistance Levels to Monitor

Upon a recovery from current levels, investors should watch how the stock responds to the $39 area, a region where the shares may run into selling pressure near two troughs that formed on the chart during September.

Finally, a more bullish move could see the shares climb to around $50. Investors who bought the recent dip may look to offload shares near a 澳洲幸运5官方开奖结果体彩网:horizontal line that links the early August trough with the upper level of a 澳洲幸运5官方开奖结果体彩网:consolidation period that emerged on the chart throughout most of October within the stock’s broader 澳洲幸运5官方开奖结果体彩网:downtrend.

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