- Summary:
- RC365 Share Price Forecast: LON: RCGH is forming a rising wedge pattern. This suggests that the bulls are losing momentum.
RC365 (LON: RCGH) share price has been on a tear since last month. The shares are up more than 500% in the last 5 weeks and trading only 19% below their recent all-time high. While the market structure of the stock is looking very bullish, the bulls are ignoring a bearish pattern.
The FTSE 100 index is showing minor losses on Monday. Till press time, the index was down 3.6 points in the first trading session of the week. As a result, RC365 shares also slid 8.11% and were changing hands at 151p. The shares tagged the low of 130p, but the buyers were quick to react.
RC365 Stock Partners With Cooper Technology
According to the latest RC365 news, its subsidiary has signed an agreement for the development of mPOS with Cooper Technology. The latest agreement will enable Regal Crown’s existing mPOS program in Malaysia to be upgraded. This also emphasizes the firm’s commitment to expanding in Malaysia.
RC365 share price has generated exponential returns since its March 2022 IPO. The company currently boasts a market capitalization of 189 million pounds. At the current price, many analysts believe that the stock is overvalued and that long-term investors need to wait for a pullback.
RC365 Share Price Forms Rising Wedge Pattern
As described in my previous LON: RCGH analysis, there is a strong bearish divergence developing on the RSI indicator. Such divergences often occur near the top of bullish rallies. The price action is also forming a rising wedge pattern. This pattern tends to be extremely bearish in case of a breakdown.
RC365 share price forecast will remain bullish as long as the shares avoid a breakdown from this pattern. If the UK stock market maintains its positive sentiment, there’s also a possibility of the price retesting the top of the wedge. The target of this bullish move is above 230p.
In the meantime, you are also welcome to follow me on Twitter to keep track of my personal stock and crypto trades.
