BlackBerry Bulls Vs. Bears: Who's Gonna Win The Battle?

BlackBerry Ltd. BB shares are trading higher Thursday alongside other favorites from Reddit’s WallStreetBets community. The stock has been consolidating sideways for a time and could be on the move soon.

BlackBerry was up 5.67 at $10.43 at last check Thursday.

BlackBerry Daily Chart Analysis

• Shares were falling for a couple of months, but have since started consolidating sideways. This sideways movement may be a bottom or possibly a plateau for a big move that will likely come in time.
• The stock is trading below the 50-day moving average (green) but above the 200-day moving average (blue), indicating the stock is likely facing a period of consolidation.
• The 50-day moving average may hold as an area of resistance, while the 200-day moving average may act as a place of support.
• The stock looks to be forming the start of a “U” shape pattern, or possibly a descending triangle, but it is still too early to decipher which one it will be.
• The Relative Strength Index (RSI) has been forming higher lows and now sits at 46. There are still more sellers in the stock although more buyers have been piling in.

What’s Next For BlackBerry?

Bulls would like to see the stock form the bottom to the “U” shape pattern and then begin to form higher lows. This could signal the start of an uptrend.

Bears would like to see the stock be unable to form higher lows. Bears would like to see the stock form lower highs into a flat support level before breaking support and seeing a dropoff.

Photo: BlackBerry