Quantum Computing (QUBT) shares tumbled Monday after jumping 50% last week when the photonic and quantum opt🔴ics provider flagged progress at its planned quantum chip foundry.

CEO Yuping Huang said last Thursday the company had completed construction of its Arizona-based foundry, a factory that will process the materials used in the photonic chips that power specific quantum machines. The firm also said it had secured its fifth purchase order and deepened its engagement with both government and commercial partners. The company also announced it 澳洲幸运5官方开奖结果体彩网:swung to a profit in the first quarter on benefits from an earlier acquisition and growing demand for its photonic semiconductors. 

Quantum Computing shares fell 8.1% to close Monday's session at $11.83 . The stock has doubled from last-month's low and has gained more than 1,000% over the past month as investors bet that the company’s chips will power 澳洲幸运5官方开奖结果体彩网:quantum technology helping to revolutionize industries like 澳洲幸运5官方开奖结果体彩网:cybersecurity, finance, and healthcare.

Below, we take a closer look at Quantum Computing’s chart and apply 澳洲幸运5官方开奖结果体彩网:technical analysis to identify crucial price levels worth wat🙈ching out for.

Pennant Pattern Breakout

After breaking above a 澳洲幸运5官方开奖结果体彩网:falling wedge pattern in mid-March, Quantum Computing shares consolidated before resuming their uptrend in late April. 

More recently, the stock broke out above a 澳洲幸运5官方开奖结果体彩网:pennant pattern in Friday’s trading session, signaling a continuation move higher. Importantly, the buying occurred on the highest daily volume since mid-January, indicating that largeꦦr market players participated in the rally.

Meanwhile, the 澳洲幸运5官方开奖结果体彩网:relative strength index confirms bullish momentum, but also flashes 澳洲幸运5官方开奖结果体彩网:overbought conditions, which could lead to short-term vola💞tility.

Let’s take a closer look at two crucial overhead areas on Quantum Computing’s chart that will remain in focus if the stock continues to track higher and also point out several major 澳洲幸运5官方开奖结果体彩网:support levels worth monitoring during retracements.

Crucial Overhead Areas to Watch

The first overhead area to watch sits around $20. This level may provide selling pressure near a brief 澳洲幸运5官方开奖结果体彩网:consolidation period in late December that formed on the chart just below the stock’s 澳洲幸运5官方开奖结果体彩网:record high. It’s worth pointing out that this location also roughly matches a projected measured move price target that calculates th🧸e distance between the falling wedge pattern’s two trendlines and adds that amount to the mid-March breakout point. For instance, adding $🎃14 to $6, forecasts a target of $20.

A decisive close above this level could see the shares make another run toward $27. Investors who have bought at lower prices may seek 澳洲幸运5官方开奖结果体彩网:exit points in this region near the stock’s 澳洲幸运5官方开奖结果体彩网:all-time high set in mid-December.

Major Support Levels Worth Monitoring

Further selling could see the shares initially revisit support around $9, a location on the chart that may attract buying interest near a trendline connecting a range of corresponding 澳洲幸运5官方开奖结果体彩网:price action stretching back to early December.

Finally, the bulls’ failure to defend this important support level opens the door for a more significant drop to $6. Investors may view this location as a floor to 澳洲幸运5官方开奖结果体彩网:accumulate Quantum Computing shares near a series of troughs that developed 🗹on the chart f▨rom early December to late April.

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