DELL has pulled back to a historically bullish trendline
Dell Technologies Inc (NYSE:DELL) stock is 6.7% lower at $125.29 at last glance, suffering a significant bear gap following news that the Biden administration plans to tighten restrictions on the chip industry amid rising concerns with dealing in China. Despite today's dip, DELL is still trading within 2% of a historically bullish trendline.
Per Schaeffer's Senior Quantitative Analyst Rocky White, the security has come within striking distance of its 80-day trendline three times in the past three years, defined for this study as having traded north of it 80% of the time in the past two months, and in eight of the past 10 trading days. One month later, the stock was higher each time, averaging a 9.8% return. A similar move would push the stock near the $140 level.
Dell Technologies stock is on track to log its fifth-straight daily loss, and is nearing its quarter-to-date -10% level. This presents an intriguing entry point, as DELL chases its May 29, all-time high of $179.70.
