|The ‘stars and moon are aligning’ for one of the market’s most volatile stocks, chart analyst says|
PUBLISHED MON, MAY 24 20219:04 AM EDT
One of the market’s most volatile stocks could be in a prime position for investors.
So says Craig Johnson, senior technical research analyst at Piper Sandler, who has had his eye on computer hardware maker Western Digital since it reported earnings in April.
After the strong first-quarter report, “it seems like stars and moon are aligning here … with both the fundamentals and the technicals on Western Digital,” Johnson said Friday on CNBC’s “Trading Nation.”
Despite the stock being prone to unusual swings, Wall Street’s consensus estimates of its gains increased by about 25% following the results.
On the stock’s chart, “you’ve made this clear double bottom, and a close above $76 would start another leg higher,” Johnson said.
Western Digital ended trading down nearly 1% at $72.34 on Friday
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