A Forecast For Etsy's Stock Based On The Daily Chart

Etsy Inc. ETSY shares are trading higher Thursday, although there looks to be no company-specific news to explain the jump in price. The stock was trending on social media sites throughout the day.

Etsy closed up 5.1% at $212.59.

Etsy Daily Chart Analysis

• The stock is moving higher away from the higher low trendline toward resistance in what technical traders call an ascending triangle pattern.
• The stock trades above both the 50-day moving average (green), and the 200-day moving average (blue), indicating the stock is likely facing a period of bullish sentiment.
• Each of these moving averages may hold as a potential area of support in the future.
• The $240 price level has acted as an area of resistance in the past, struggling to cross above the area. This area may continue to hold in the future.
• The Relative Strength Index (RSI) has been moving upward the past few days and now sits at 65. The RSI is nearing the overbought range where buying pressure will be much greater than selling pressure.

What’s Next For Etsy?

Bullish traders are looking to see the stock continue to hold above the higher low trendline and climb toward resistance. Bulls would then like to see the stock break above resistance and be able to consolidate above the level for possible further moves up.

Bearish traders would like to see the stock fall below the higher low trendline and be unable to cross back above it. This could hint the stock is ready to see a further bearish push.