What's Up With Square Stock Today?

Square Inc. SQ shares traded higher Friday after retail traders were able to move the stock.

The stock may be moving on continued momentum from Thursday after Square CEO Jack Dorsey said the company is trying to create a new business platform. The new platform is planned as a decentralized financial service platform.

Square Daily Chart Analysis

• Shares have been trading in a sideways channel and were able to bounce at support mid-May 2021.
• The stock is trading above both the 50-day moving average (green), and the 200-day moving average (blue), indicating the sentiment in the stock is bullish.
• Each of these moving averages may hold as an area of support in the future.

Key Square Levels To Watch

• When the stock found support in mid May 2021, it did so at the $200 level. This level may continue to hold as support in the future.
• The stock has been unable to cross above the $280 level in the past and this may continue to hold as resistance in the future. If the stock can cross above this level it could become support.
• The Relative Strength Index (RSI) sits at 51 and has been moving sideways throughout the past couple weeks. The RSI being at 51 means that there are about the same amount of buyers as there are sellers with slightly more buyers.

What’s Next For Square?

Bulls would like to see the stock continue to move higher and cross above the $280 resistance level. With some consolidation above this level the stock may see a higher move and continue its upward momentum.

Bearish traders would like to see the stock fail to hold above the $200 level and start heading lower. If the stock breaks below the $200 level an the moving averages it could see a strong downward push.

Photo: courtesy of Square.