SAP adds to earnings rally with another 7% advance
SAP has recorded another 7% increase, contributing to the earnings rally.
Over the past 7 days, the stock has experienced a volatility of -5.4% and has undergone a correction. However, the current price is at $189.65, which is above the resistance level of $180.0, prompting us to consider entering the market as we observe a rebound trend.
If the stock price reaches the resistance level of $180.0, I will take profits, and if it falls below the support level of $160.0, I will cut losses.
The RSI(14) has rebounded from the oversold zone at 30.1, but the moving averages are in a non-aligned state, and the trading volume has increased to 1.65 times the 20-day average.
Based on the exit from the oversold zone with an RSI of 30.1 and positive news, an entry was made with an expected profit of 2.5%, but in reality, a significant profit of 10.9% was achieved, greatly exceeding the forecast.
Despite concerns about short-term volatility due to the incomplete alignment of moving averages, we have confirmed that news momentum has been strongly influential. Even with uncertainties in future technical indicators, we will quantify our response strategies when the news conversion rate and momentum of the theme are strong.