Key Takeaways
- Shares in Atlassian gained 9% last week and have recovered a chunk of the big losses posted after the collaboration software maker issued a disappointing revenue outlook earlier this month.
- Since recording its 2024 high in January, Atlassian shares have traded within an orderly descending channel, a chart pattern that indicates a downward trend, but can also signal a trend reversal upon a breakout.
- Atlassian shares may test higher chart levels around $168, $187, and $215, while finding support during retracements near $130 and $116.
Shares in collaboration software maker Atlassian (TEAM) will remain in focus on Monday follow✅ing last week’s gain꧒ of 9%.
Still, the company's shares trade down more than 35% on the year, with the price plumbing a 澳洲幸运5官方开奖结果体彩网:52-week low earlier this month after the company issued a 澳洲幸运5官方开奖结果体彩网:soft revenue outlook below Wall Street estimates and announced the departure of Chief Sales Officer Kevin Egan. However, the stock's recent momentum shift suggests concerns over sales growth and executive changes may be mostly 澳洲幸运5官方开奖结果体彩网:baked in the cake.
Below, we analyze Atlassian’s chart and turn to 澳洲幸运5官方开奖结果体彩网:technical analysis 🥀to idﷺentify key price levels that investors will likely be watching.
Shares Trade Within Descending Channel
Since recording its 2024 high in January, Atlassian shares have traded within an orderly 澳洲幸运5官方开奖结果体彩网:descending channel, a chart pattern that indicates a downward trend, but can also signal a trend reversal upon a breakout.
More recently, the stock has climbed around 14% from its recent post-earnings 52-week low, registering four consecutive days in the green between Tuesdayౠ and Friday last week.
Thꦗe stock gained 5% on Friday to finish at $154.21.𒅌
Higher Price Levels to Watch
Looking ahead, investors should monitor three key higher price levels th⛎at Atlassian stock could test amid strengthening price momentum.
The first sits around $168, an area on the chart that finds a 澳洲幸运5官方开奖结果体彩网:confluence of resistance from the prominent November 2023 swing low, the channel's upper trendline, and the downward sloping 澳洲幸运5官方开奖结果体彩网:50-day moving average.
A move above this level could see the shares test $187, where they may encounter selling pressure near a trendline joining multiple 澳洲幸运5官方开奖结果体彩网:peaks and troughs from February last year to July this year.
Ongoing buying could fuel a move up to $215, a location where sellers may be happy to take profits near a 澳洲幸运5官方开奖结果体彩网:horizontal line 𒅌linking three peaks that formed on the chart between 🍌September 2023 and April.
Support Areas Worth Monitoring
Despite the recent bullish 澳洲幸运5官方开奖结果体彩网:price action in the stock, it’s also worth monitoring several important support areas.
An initial retracement from current levels could see the shares revisit the $130 area, a region where they may attract buyers seeking 澳洲幸运5官方开奖结果体彩网:entry points situated around the May 2023 澳洲幸运5官方开奖结果体彩网:swing low.
A failure to hold this level raises the possibility for a retest of $116 near the channel's lower trendline, where the price would likely find major support from three key troughs that formed on the chart between November 2022 and January 2023.
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