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- 1 AEE stock rebounded from the support zone ($72) in the past sessions.
- 2 AEE stock is forming a symmetrical triangle pattern on the charts.
Ameren Corporation (NYSE: AEE) share shows a pullback despite poor ratings by analysts. Moreover, the AEE stock did not break the support zone of $70 and is close to the 20 day EMA, but failed to surpass, facing strong rejection. Furthermore, AEE share is in a downtrend amid several attempts to trap the bears. However, the bulls are still waiting for a breakout above the trendline of $80. Furthermore, the bears have persisted in making short buildups and continued to push slowly & steadily with an eye to catch the $50 mark.
AEE stock price is below the cluster of 20 day EMA and is forming the lower lows for the past sessions. However, the rebound was witnessed from the lower trendline and follow-on buying activity highlights the buying interest and their willingness to retest the 100 day EMA mark. However, the options chain indicates that, at the strike price of $75, there is equal interest between the call writers and put writers having open interest of 50 hundred shares, but the bulls are likely to win the battle and try to extend the bounce toward $80.
At press time, AEE stock price was $76.36 with an intraday gain of 1.70% showing neutrality on the charts. Moreover, trading volume increased by 0.25% to 1.89 Million while the market cap is $20.064 Billion. Furthermore, analysts maintained a neutral rating with a yearly target price of $84.17, suggesting volatility may continue in the upcoming sessions.
Ameren Corp. is a public utility holding company, which engages in the provision of electric and natural gas services. It operates through the following segments: Ameren Missouri, Ameren Illinois Electric Distribution, Ameren Illinois Natural Gas, Ameren Transmission, and Other. The Ameren Transmission segment consists of the aggregated electric transmission businesses of Ameren Illinois and Ameren Transmission Company of Illinois (ATXI).
Will AEE Stock Sustain Above 20 Day EMA?
On the daily charts, AEE stock price is close to the 20 day EMA and facing a rejection during the rebound. However, the buyers have managed to hold the gains near $70 and are inside the symmetrical triangle pattern. Moreover, AEE stock price is near the 38.2% Fib level which acted as a support while bulls have held the region decisively. If a breakdown happens below $70, AEE stock will retest the demand zone of $60, whereas if breakout happens, bulls may extend the rally toward $85.
The RSI curve stayed near 50 showing a bearish divergence indicates volatile chart structure and incisiveness between the bulls and bears.
The MACD shows green bars and the convergence of the MA line with the signal line indicating the bear cartel is evolving now and trying to push AEE stock below $70.
Summary
AEE stock price is inside the symmetrical triangle pattern and is close to the 20 day EMA barrier. Furthermore, the trend is favoring the bears and sellers have persisted in adding short positions and is likely to push AEE below the trendline to initiate a breakdown. However, bulls have tried their best and have handled the gains decisively.
Technical Levels
Support Levels: $70 and $65
Resistance Levels: $80 and $85
Disclaimer
The views and opinions stated by the author or any other person named in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing in or trading crypto or stocks comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
