FuelCell Energy Inc. (NASDAQ: FCEL) shares are trading lower Thursday after the company reported worse-than-expected earnings.
The company posted a quarterly loss of 6 cents per share, missing the estimate that called for a loss of 5 cents per share. The company reported quarterly revenue of $14 million, which missed the estimate of $18.86 million.
FuelCell Energy was down 13.6% at $9.74 at last check.
FuelCell Energy Daily Chart Analysis:
- The stock may have broken the downtrend it was in after finding support at an old support level, and could be forming higher lows.
- The stock is trading above both the 50-day moving average (green), and the 200-day moving average (blue), indicating sentiment in the stock is bullish.
- Both of these moving averages may hold as an area of support.
Key Levels To Watch:
- FuelCell Energy looks to have bounced at an old support level near $7.50 while simultaneously breaking the downtrend it was in.
- The $7.50 level was a previous area of support and a key level that needed to hold.
- Following the hold of support, the stock bounced and has been making higher lows. These higher lows need to hold for bulls to maintain control.
Bullish technical traders would like to see the stock continue to form higher lows. Bulls would also like to see the stock be able to hold above the moving averages as well.
Bearish technical traders would like to see the stock break below the higher low trendline and below the moving averages. Following this, bears would like to see the stock fall back to the $7.50 support and break below with consolidation below the level. Following consolidation, the stock may be able to see a strong downward push.
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