Dallas, Texas 04/22/2014 (FINANCIALSTRENDS) – Analog Devices, Inc. (NASDAQ:ADI) made some healthy gains on Thursday after it narrowed down in its previous day’s trade. The stock again gained yesterday which proves to us that the stock is in an uptrend and might only find resistance at levels of $53.29 and has a very healthy support at $51.79
Analog Devices, Inc. (NASDAQ:ADI) has been trading in a very volatile manner with no particular direction, stock saw the surge on Mondays’ trade after strong buying by the traders. The stock is trading above its 50 day moving average and 200 day moving averages which stand at $51.69 and $48.75 respectively, this implies the has been on a healthy upside.
The momentum indicators for Analog Devices, Inc.(NASDAQ:ADI) on the daily charts have been on a downturn with some indication of an upward move on Monday. The relative strength index saw a sharp up move from the no trade zone, this implies the stock may have a trend reversal in process; the stock may stay in the green in the upcoming trading sessions.
On a broader timeline, momentum indicators on the weekly charts suggest, the stock is in the overbought zone, this is a bearish sign, the relative strength index is firmly near the oversold region, this implies the stock may see an upside before it starts to correct.
On the upside the stock has a strong resistance around $53.29 from where the stock found resistance the last time. On the downside first support level for the stock is around $50.38, the stock has bounced back from this level a couple of times in the recent past. A breakout below this level could see the stock test $48.39 levels which is its trend line support.
(Figure): Daily Chart for Analog Devices, Inc. (NASDAQ:ADI)
Analog Devices Inc. got upgraded by Goldman Sachs from s “sell” to “neutral” other analysts at Zacks also upgraded the stock from “underperform” to “neutral”