IBM stock: fighting gravity

IBM stock: fighting gravity

2020-02-06 • Updated

In the meantime

While Tesla stock is in a recoil trying to get over $1000 per share, have a look at IBM. Recently, it broke through $153 (September-2018 resistance) after leaving the 200-MA below. Also, 50-MA is crossing 100-MA upwards, which is normally a reliable alert to prepare for buying, if the following trend confirms this signal. To evaluate this option well, let’s look at the long-term indications.


Are 8 years enough?

The below weekly chart is the zoomed-out version of the above one. The large downtrend marked above the price has been in place for the last 8 years, after the stock price reached the all-time high in 2012. Since then, it has been dropping, except for the years 2016-2017, which gave it notable upswing. Now, the price is testing the resistance of this downwards movement. May it brake it? There are preliminary signs for that, but time needs more to approve this move.



In the mid-term, the price is likely to bounce back from the reached resistance, regardless of its following move.

Hence, it may be advised to sell now, waiting for a lower level to buy. $130 per share may be a suitable level to look at in this scenario. Otherwise, the long-term support is at $110 serving as a checkpoint for the downtrend.

In the long-term, we need to look for uptrend confirmation. If the price continues the sideways movement it has been showing along 2019, that would be enough to state that it plans to conclude the large downtrend and is “thinking” to reverse it. If it goes “strongly” upwards and breaks the closest major resistances at $162, $169 and consequently $182, it will rid the 8-years-long gravitation power of bears. With this, we will be able to state that IBM stock has started a new decade on a serious bullish note.

                                                                                         LOG IN


Nasdaq 100 (US100): Toward 17750
Nasdaq 100 (US100): Toward 17750

Bullish Scenario: Buy between 17515 and 17600 with TP1: 17681; TP2: 17720 intraday, and TP3: 17750 / 18000 in extension. Bearish Scenario in case of breaking the buying zone: Sell below 17500 with TP1: 17469; TP2: 17421, and TP3: 17358 in extension.

Latest news

What To Trade In March
What To Trade In March

The month of February saw markets make several instinctive moves as well as create opportunities for proper leveraging of fundamental releases. Despite being a leap-year, there wasn’t any real impact on price delivery in the course of the month. As we await the opportunities that lie ahead in the month of March, here are a few thoughts to consider.

CHF: Key Zone Could Yield Strong Reactions
CHF: Key Zone Could Yield Strong Reactions

USD/CHF saw a rebound after declining for two days straight, climbing towards the important psychological level of 0.8800 during Wednesday's early Asian trading session. There's some pressure on the Swiss Franc (CHF) as traders await the Swiss ZEW Survey – Expectations report scheduled for later today. Moreover, investors are keeping...

USD Expected To Recover Some Strength
USD Expected To Recover Some Strength

In the early hours of Tuesday, the US Dollar faces challenges in maintaining its strength against major currencies, with the US Dollar Index struggling to surpass the 104.00 mark. Investors are eagerly anticipating the release of key economic data, including January Durable Goods Orders and the Conference Board's Consumer Confidence Index for February. Additionally, the economic calendar includes reports...

Deposit with your local payment systems

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera