Genius Brands Sees A Bounce: What's Next?

Genius Brands International Inc. GNUS shares are trading higher Wednesday as the stock is seeing a day with above-average volume. The stock looks to have possibly seen a bounce off support and could be heading higher once again.

Genius Brands was up 6.57% at $1.46 at last check Wednesday afternoon at publication.

Genius Brands Daily Chart Analysis

• The stock looks to be bouncing off of support in what technical traders call a pennant pattern.
• The price continues to be condensed between the highs and lows, and as it sits the stock looks to be making a bounce off of the lows, possibly headed higher toward resistance in the future.
• The stock is trading below both the 50-day moving average (green) and the 200-day moving average (blue), indicating sentiment in the stock looks to be bearish.
• Each of these moving averages may hold as a possible area of resistance in the future.
• The Relative Strength Index (RSI) is sitting in the middle of the indicator at 50. This shows the stock is seeing an equal amount of buying and selling pressure overall.

What’s Next For Genius Brands?

Bullish traders want to see the stock head higher toward resistance and eventually break out above it. A period of consolidation above the resistance level could show the stock is ready to see a further bullish push in time.

Bearish traders want to see the stock fall below the pattern support line and begin to hold it as a level of resistance. This could cause the stock to see a further bearish push in the future. Bears would like to see the stock stay below the moving averages for sentiment to remain bearish.

Photo: Memento Media via Unsplash