Newegg Commerce Inc (NASDAQ:NEGG) shares are hitting new 52-week highs on Thursday, adding to gains of approximately 260% over the past month. Here’s a look at what’s going on.
What To Know: Newegg Commerce shares are showing strong momentum with a recent high at $124.99 and a low of $101.92, indicating a solid range for traders. Recent price action has created higher highs and higher lows, confirming an uptrend.
E-commerce company Newegg Commerce has a momentum score of 99.49, according to Benzinga Edge rankings.
Chart patterns reveal a potential ascending triangle formation, with the upper trend line near $124.99 and the lower support line around $110. This pattern could lead to a breakout if the stock can maintain momentum above resistance.
Volume is robust at 1.36 million shares, significantly above the average volume over the past 100 days, suggesting strong interest and participation in the move.
The RSI is calculated at 80.7, indicating that the stock is in overbought territory, suggesting a potential pullback could occur. The MACD shows a bullish crossover, but the lines are starting to converge, hinting at a possible slowdown in momentum.
Newegg shares are up more than 1,500% over the past three months. On July 15, Newegg announced a sales agreement to sell up to $65 million in common stock, further fueling investor interest. The stock has gained about 260% since the announcement.
The recent momentum may also be driven by a resurgence of meme stock interest in heavily shorted names. 12.25% of Newegg’s float is currently sold short, according to Benzinga Pro.
NEGG Price Action: Newegg Commerce shares were last up 28.15% at $117.76 during regular trading hours on Thursday, according to Benzinga Pro.
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