2 Stocks Looking To Make Moves After Forming Technical Patterns

Alpine 4 Holdings Inc. ALPP and Tuscan Holdings Corp. THCB are two stocks moving Wednesday.

Alpine 4 Holdings shares are trading higher amid an announcement of an acquisition of Thermal Dynamics International Inc. Tuscan Holdings is possibly moving after the company urged shareholders to vote in favor of an extension amendment related to a business combination with Microvast in a vote that closed Tuesday.

Alpine Holdings Daily Chart Analysis

• Alpine Holdings stock might be forming what technical traders call a head-and-shoulders pattern.
• The stock is trading above both the 50-day moving average (green) as well as the 200-day moving average (blue), indicating sentiment in the stock has been bullish recently.
• These moving averages may both hold as support levels in the future.

Key Alpine Holdings Levels To Watch

• The head-and-shoulders pattern occurs after the stock pulls back steeply and buyers are unable to push the price to new highs.
• This bearish reversal pattern can be confirmed when the price is able to cross below the support levels formed by buyers earlier.
• The $2 level is an area where the stock has been able to find buyers before. Bulls are looking to see the price bounce and move higher. Bearish traders would like to see this support level fail to hold.

Tuscan Holdings Daily Chart Analysis

• Tuscan Holdings is nearing the end of what technical traders call a falling wedge pattern.
• The stock is trading below both the 50-day moving average (green) as well as the 200-day moving average (blue), indicating sentiment in the stock has been bearish. 
• These moving averages may both hold as a resistance level in the future.

Key Tuscan Holdings Levels To Watch

• The stock has been falling the past couple months, forming what technical traders call a falling wedge pattern.
• This pattern is considered a bullish reversal pattern, as connecting the highs shows a much steeper drop compared to connecting the lows of the chart, forming a wedge.
• A break above the line connecting the highs may signal the stock is changing trends and ready to start heading back up.
• A break below the line connecting the lows could bring about a stronger downward push.