Electronics & Semiconductor Manufacturer, Analog Devices Inc.(ADI), has returned to the Green Favored Zone in the SIA S&P 500 Index back on July 29, 2022 at a price of $171.96. Today, the price of the shares are at $179.89 which is already representing an 4.6% return in a little over 2 weeks since entering the Favored Zone. Currently the shares occupy the 78th spot in the S&P 500 Index, up 119 spots in the past month.
In looking at the attached Candlestick chart, the shares found a bottom at approximately the $140.00 area back earlier in July successfully testing support which was where the shares also touched the $140.00 area back in March and May of 2021 .
Since June of this year, the shares have slowly trended higher, and we now see the shares approaching key resistance at the recent high of approximately $188.00. If it manages to break above the $188.00 area, next potential resistance can now be found at the $200 psychological level. Support can be found at previous resistance which is now new support at $170.00.
In the attached Point and Figure chart at a 2% scale, we see the shares bottomed out at approximately the $140.00 area. In the past month the shares reversed and it’s approaching next resistance at the $188.77 price level. If the shares manage to break above this level, next resistance is at $208.41 based on a measured move.
Support can be found at the 3 box reversal which is $164.33 and, below that, $140.26 where it has successfully tested 3 times in the past 18 months.
With an SMAX of 9 out of 10, ADI is showing near term strength against all asset classes.
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