ON Semiconductor Corporation (NASDAQ:ON) gained 0.36% in yesterday’s session, going up from its prior closing price of $19.31 to $19.38, and has now recorded rally in 11 consecutive sessions. It is uncommon for a stock to keep rising for so many consecutive days so a temporary pullback is likely. The stock price went upward in 10 of the last 10 days and has generated 9.49% during the last two weeks. The upbeat movement of both volume and price during the recent session is interpreted as a good sign, and, overall 1.53 million more shares exchanged hands compared with prior day. In total, 5.85 M shares exchanged hands for about $113.33 million.
Inside ON’s Recent Trend
ON Semiconductor Corporation (ON) lies in the upper part of a strong rising trend in the short term, and this will normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break-up at the top trend line at $19.43 will firstly indicate a stronger raising rate. Short-term traders are predicted to see a rally of 27.3% over the course of a quarter and, with 90% chance the price will be floating in the range of $22.82 and $24.73 in this timeframe.
ON Semiconductor Corporation Technical Signals
ON has witnessed its long term and short term MA triggering a buy signal. Many traders watch for short-term averages to cross above long-term averages to signal the beginning of a uptrend. Upon corrections, the price will meet support from the averages between $19.13 and $17.49. A break down through these support points will trigger sell signals. Its pivot point low generated buy signal on Wednesday September 06, 2017, which calls for additional surge until the stock forms a new pivot point high. There was increase in both volume and price. This is usually interpreted as a good sign as traders widely believe rising stock should see increasing volume.
ON Semiconductor Corporation (NASDAQ:ON) Support And Resistance Levels
In case of pullback, the next support the price will capture from accumulated volume will not be far away from current price at $17.38 and $16.45. It seems to be blessed by the accumulated volume as it meets no resistance above current level and favorable trading conditions will help the stock to show strong performance in the coming days.
It is important to note, however, that the stock needs to make its way through natural risk while testing a key support level. Once this support is broken, another support level will be to be established at a lower level. Turning back to this stock, ON Semiconductor Corporation approaches the first support point just current price at $17.38. In case of a break, the next support we will see from accumulated volume is going to be at $16.45 and $16.33.
ON Semiconductor Corporation (ON) Risk Assessment
A volatility based measure Bollinger Bands suggests this stock poses high risk. In the most recent session, the stock price hovered around $0.61 between high and low, or 3.18%. The average volatility for the past week stood at 1.87%.
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