Technical Analysis of Super Micro Computer Inc (SMCI)

Upon analyzing the stock SMCI, we observe a significant turning point starting in 2022, following a long period of sideways movement where the stock struggled to break above the $40 level.



After this prolonged sideways phase, the stock broke out with a clear upward trend, highlighted by the ascending trendline (green), characterized by higher highs and higher lows.



Following a year of gains, the stock entered a consolidation phase but then broke out again to the upside with strength, accompanied by a substantial increase in volume.



After reaching a peak in March 2024, the stock began a downward phase that is still ongoing.

Potential long entry points, where the stock might bounce or change trend direction, are found in the following two support areas:

• Support area S1;
  
• The POC 1 area.
  

If the stock begins to rally again, it will be crucial to monitor its behavior as it approaches the descending trendline (green), which could serve as a more conservative initial target.

More ambitious targets are POC 2 and resistance R1, both within a price range of $900 to $1,000.