A week ago we wrote about Two Positive Signs From Desktop Metal’s Weekly Price Action, supporting a stock price reversal to the upside.
The price action in Desktop Metal’s stock (DM) last week continued supporting that insight.
On a weekly view, DM kept respecting the 20-week EMA (body) and the 27-week EMA (wick) resistance lines. So no news on the lines break.
Same with the 9-week SMA body support line. That means relatively low share prices were not getting too low.
However, the wick support lines shifted up from the 13-week EMA to the 12-week EMA (with same registration date). The latter is a “tighter” line and by “pulling” its support MA periods up, DM is demonstrating strength.
On a daily view, today’s (Monday) price action brought Desktop Metal’s stock very close to the 108-day EMA (body) resistance line. In fact, it’s the closest the share price has been to the resistance line since November 2021.
Desktop Metal continues its demonstration of strength. It might be that indeed, this time its the charm.