Super Micro Computer (SMCI) shares popped 8% in extended trading Tuesday after the troubled server maker said it expects to submit its 澳洲幸运5官方开奖结果体彩网:delayed 2024 financial reports by the Nasdaq’s Feb. 25 deadline to avoid being delisted.

This development overshadowed the company's underwhelming preliminary second-quarter results. It also shored up investors’ confidence in the stock, laying to rest concerns that the server maker may not meet the exchange’s cutoff date after a plethora of accounting and 澳洲幸运5官方开奖结果体彩网:corporate governance issues were unearthed during the second half of last y🥃ear.

Its been a wild ride for the Supermicro stock which lost nearly 10% during regular trading hours Tuesday and began after-hours trading in the red before 澳洲幸运5官方开奖结果体彩网:whipsawing. The company's shares have fallen around 6% in the last month but have 澳洲幸运5官方开奖结果体彩网:surged more than 35% in February ♋as of Tuesday’s close in anticipation of this update. However, the stock has lo🃏st nearly half its value over the past year.

Below, we break down the 澳洲幸运5官方开奖结果体彩网:technicals on Supermicro’s chart and idenꩵtify important price levels that investors may be watching.

Descending Broadening Wedge Breakout

Supermicro shares broke out above the top trendline of a descending 澳洲幸运5官方开奖结果体彩网:broadening formation last Friday, potentially also forming an 澳洲幸运5官方开奖结果体彩网:inverse head and shoulders bottoming pattern in the process.

Importantly, the stock registered its highest volume in rece🐭nt trading session since early December, indicating larger market participants positioning ahead of t꧟his afternoon’s update.

While the 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) edged lower after today’s fall in regular trading, the indicator still confirms bullish price momentum with a reading just below the 澳洲幸运5官方开奖结果体彩网:overbought threshold.

Let’s apply 澳洲幸运5官方开奖结果体彩网:technical analysis to identify important overhead areas where the shares could run into 澳洲幸运5官方开奖结果体彩网:resistance and also point out key 澳洲幸运5官方开奖结果体彩网:support levels worth watching during pullbacks.

Important Overhead Areas in Play

The first overhead area to track sits around the 澳洲幸运5官方开奖结果体彩网:psychological $50 level. This region on the chart could provide resistance near the inverse head and shoulders’ neckline, which also lies in close proximity to the downward sloping 澳洲幸运5官方开奖结果体彩网:200-day moving average.

A decisive breakout above this price would confirm the pattern, which could propel a move to around $70. Investors may look to offload shares around this 𝔉level near the February 2024 pullback low and late-April trough.

Follow-through buying could see the shares rally to the $96 level, an area that may provide resistance near a trendline that connects a series of peaks on the chart between February and July🧜 last year.

Key Support Levels to Watch

During 澳洲幸运5官方开奖结果体彩网:retracements, investors should keep tabs of the $26 level. Supermicro bulls could look for buying opportunities in this region near t🗹hꦓe low of the inverse head and shoulders’ right shoulder.

Finally, a more significant downside reversal in the stock could see the shares revisit lower support around $18. Investors who try to time market bottoms may seek 澳洲幸运5官方开奖结果体彩网:entry points near last year’s Nov𒆙ember low, which also doubles and the inverse head and shoulders’ head.

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