180 Life Sciences Stock Bounces Off Support: What's Next?

180 Life Sciences Corp. ATNF shares are trading higher Monday, although there looks to be no company-evident news to explain the jump in price. The stock was trending on social media sites throughout the day such as StockTwits.

180 Life Sciences was up 9.8% at $6.16 Monday afternoon. 

180 Life Sciences Daily Chart Analysis

• The stock looks to have bounced off of pattern support in what technical traders call an ascending triangle pattern.
• The $12 price level has held as resistance in the past and may again in the future. The higher low has been somewhere the stock has been able to find support in the past and looks to have recently seen a bounce back higher.
• The stock trades above the 50-day moving average (green) but below the 200-day moving average (blue), indicating the sentiment in the stock may be turning more bullish.
• The 50-day moving average may hold as an area of support in the future, while the 200-day moving average could hold as resistance.
• The Relative Strength Index (RSI) has been climbing the past couple of weeks and now sits at 55. This shows that the stock is now seeing more buying pressure than selling pressure.

What’s Next For 180 Life Sciences?

Bullish traders would like to see the stock continue to climb higher inside the pattern and eventually go on to break above the $12 resistance level. Bulls would like to see the stock then have a period of consolidation above the $12 level for the stock to possibly see further bullish moves.

Bearish traders want to see the stock fall below the higher low trendline and push lower to possibly confirm a trend change. This could cause the stock to see a period of bearish movement for awhile until the stock can form higher lows once again.