Plug Power Stock Holds Support, Looks Ready To Rip Higher

Plug Power Inc. PLUG shares were trading higher Tuesday amid rising oil and gas prices due to the Russia-Ukraine conflict.

The rising costs of oil have pushed investors to seek alternate methods of energy. Plug Power has held an area of support nicely and may be looking for its next leg up in the coming weeks.

Plug Power was up 11.51% at $25.92 Tuesday afternoon.

See Also: Is Plug Power Justified In Sacrificing Near-Term Margin For Long-Term Outperformance?

Plug Power Daily Chart Analysis

• The stock looks to have recovered an old area of support, holding the $23 level once again as support and pushing higher. Resistance may be found near the $30 level, as this was an area the stock struggled to cross above in the past.
• The stock trades above the 50-day moving average (green) but trades below the 200-day moving average (blue). This indicates the stock is in a period of consolidation. The 50-day moving average may hold as an area of support, while the 200-day moving average may act as resistance.
• The Relative Strength Index (RSI) has been climbing in recent weeks and now sits at 57 on the indicator. This shows that more buyers have been entering the market. In the last couple of weeks, buyers were able to out-pressure sellers, as there is now more buying than selling pressure in the market.

What’s Next For Plug Power?

Plug Power finding support near this area once again is a bullish sign for the stock’s future. The stock is holding support strong and there are more buyers in the market.

Bullish traders are looking to see the stock form higher lows and start heading higher toward the $30 level. Bulls are also looking to see a cross above the 200-day moving average for sentiment to turn more bullish.

Bearish traders are looking to see the stock begin to head back lower and cross back below the $23 level and begin to hold it as an area of resistance. This could cause a strong bearish move in the future.

Photo courtesy of Plug Power.