Source: TradingView.com
Palantir shares moved lower in premarket trading Wednesday after falling sharply yesterday, as the stock continues to retreat from its record high set in late December.
Recent selling comes after investment bank Morgan Stanley initiated coverage on the stock with an “underweight” rating and reports surfaced that Cathy Wood’s ARK Investment Management tech funds had sold shares in the company.
The stock broke down from a rising wedge in late December and has recently found renewed selling pressure on a retest of the pattern’s lower trendline.
Investors should watch crucial support levels on Palantir’s chart around $66. $59, and $45, while also monitoring a major resistance area near $81.
Shares in Palantir Technologies (PLTR) were down in premarket trading Wednesday after falling sharply yesterday, as the stock continues to retreat from its record high set in late December.
Recent selling in the shares comes after investment bank Morgan Stanley initiated coverage on the stock earlier this week with an “underweight” rating and reports surfaced that Cathie Wood’s ARK Investment Management tech funds had sold shares in the company.
The analytics software provider had a stellar 2024, ending the year as the S&P 500’s best performing stock. Its shares more than quadrupled, boosted by growing demand for its suit of artificial intelligence (AI) software products.
Palantir shares were down 2% at around $68.50 in recent premarket trading, after falling nearly 8% on Tuesday. Through yesterday’s close, the stock was down 18% from its Dec. 24 all-time high.
Below, we take a closer look at Palantir’s chart and apply technical analysis to identify key price levels worth watching out for.
Palantir shares broke down from a rising wedge in late December before retesting the pattern’s lower trendline earlier this month. However, since that time the stock has faced renewed selling pressure, though trading volumes remain lackluster.
Meanwhile, the relative strength index (RSI) confirms weaking price momentum, dropping…
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