Instacart (NASDAQ: CART) stock price showed increased volatility on Wednesday as it surged to its highest level since 8 November. The price action was driven by the grocery delivery company’s latest partnership with streaming service Peacock.
It appears that the bulls were eagerly waiting for some positive news to buy the shares which are still trading well below their IPO price of $30. The Peacock partnership will give premium access of the US streaming service to Instacart+ members in the United States.
At press time, the stock was up 3.14% after a pullback from the daily highs of $27.68. The latest analysis reveals that there is still an upside for the stock if the bulls hold the $25 level.
The above-mentioned NASDAQ: CART chart shows a disappointing price action for the IPO investors. It is very hard for a stock to break above the IPO price once it slides below it within the first few weeks of its listing. Therefore, only a reclaim of $30 can flip the Instacart stock price from bearish to bullish on a high timeframe.
For an aggressive entry, a reclaim of the technical resistance level of $28 may also work but an acceptance below this level must be considered a clear invalidation.
This post was last modified on Nov 29, 2023, 18:58 GMT 18:58