A report over the weekend said Broadcom and Taiwan Semiconductor Manufacturing Co. were considering bids for some of the company’s companies.
The stock is still in most areas since the gap dropped sharply in early August last year, with the possibility of drawing out the pattern at the bottom of the rectangle.
The relative strength index is below 70 thresholds, confirming the bullish momentum and laying the foundation for positive price action this week.
Investors should watch the key overhead areas on Intel charts, which are about $26, $32, $37 and $45, while also monitoring $19 close to the main support level of $19.
Intel(INTC) Stocks may remain on investors' radar screens on Tuesday Wall Street Journal Reported on Saturday Broadcom (avgo) and Taiwan Semiconductor Manufacturing Company (TSM) is considering bidding for an embattled chip manufacturer.
According to the report, Broadcom has been studying Intel's chip design and marketing business, while contract chip maker TSMC has carefully considered taking over some or all of Intel's chip factories as part of an investor consortium or other structure.
Intel shares soared more than 20% last week after Vice President JD Vance said at a recent AI conference in Paris that the Trump administration will take steps to ensure the design and manufacture of AI chips in the United States, a move that could enable Intel to The foundry companies benefit from making chips for third parties.
Sentiment surrounding the stock was speculated last week that the company may work with TSMC to make chips in the U.S. despite last week's earnings, Intel's stock has lost over the past year due to concerns about chipmakers' uncertain turnaround plans. Nearly half the value and cannot capture more profitable AI silicon market.
Below, we take a closer look at Intel’s charts and apply technical analysis to determine key price levels that investors may be aware of.
Since the gap dropped sharply in early August last year, Intel's stock is still mostly range, with the possibility of drawing out the bottom bottom pattern of the rectangle.
This month, the stock has gathered at the highest time of the distance period, despite the closely watched 200-day moving average (MA) that provided resistance in recent trading.
Meanwhile, the Relative Strength Index (RSI) is below 70 thresholds, confirming the bullish momentum and laying the foundation for positive price action this week.
Let's identify four key overhead areas on Intel charts, and if the stock reverses the course, the stock may face sales pressure and point to the main levels of support worth monitoring.
First, it's worth tracking the $26 area. The current position currently above the 200-day MA may provide overhead resistance near the top trend line of the rectangular pattern.
A decisive breakthrough above this level could cause the stock to climb to around $32. Investors buying stocks at lower prices may look for a trend line near the export point in the region that connects a series of comparable trading levels between April 2023 and July last year.
Purchasing above this level may trigger a trip to the $37 area. Stocks may encounter resistance near the horizontal line at that position. From August 2023 and July last year, links on multiple peaks on the chart.
The long-term uptrend opens the door for a rise to around $45, with profit locks near a series of peaks and troughs that may be expected to form on the chart between November 2023 and March 2024.
If Intel's stock price reverses, investors should pay close attention to the $19 level. This area on the chart may provide significant support, and buyers can seek entry points near the trend line in rectangular mode.
Comments, opinions and analysis expressed by Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more information.
As of the date of writing this article, the author does not own any of the above securities.
Read the original article about Investopedia