Intel (NASDAQ: INTC) stock price slid at the market open on Wednesday but recovered quickly. The stock for the chip manufacturer is trading just a few cents below its yearly high of $37. Currently, the stock of the chip maker is trading at $36.9, up 0.54% till press time.
The US stock market turned red on Wednesday. Analysts expect a significant fall in demand from China and Europe due to bearish PMI data. The Nasdaq 100 index suffered a 175-point decline, while the S&P500 fell by 0.7%.
Intel and TSEM have come to an agreement where Intel will provide foundry services to Tower Semiconductor. The deal included a $300 million investment in Intel’s New Mexico factory. This news comes after Chinese regulators disapproved the $ 5.4 billion merger of Intel and TSEM.
Last week, the CEO of Intel announced that the semiconductor maker is performing above the midpoint of Q3 guidance. The CEO added that the PC sales are healthy, and inventory levels are back to normal. In the recent quarter, Intel announced $12.9 billion in revenue, above the expected $12.14 billion. Intel stock price is up 48.5% from the yearly lows.
The chart for NASDAQ: INTC shows the price got rejected from the $37 resistance level. The stock is currently trading very close to the yearly high of $37. Previously, the price attempted to break above this resistance twice, but the bulls lost momentum.
For a bullish Intel stock price prediction, the price needs to find some strength above the $37 resistance level. If that happens, bulls can eye the $44.4 resistance level, which is the June 2022 high. However, the bullish forecast will be invalidated if the price breaks below the downward trendline.
I’ll keep posting my updated Intel stock analysis and my personal trade setups on Twitter, where you are welcome to follow me.
This post was last modified on Sep 06, 2023, 20:00 BST 20:00