$SMCI has been in a “Go” trend since mid May.
However, since gapping and racing to a high within a few days, Price has struggled to move higher since that first high. Indeed, after a few bars, we saw a Go Countertrend Correction Icon (red arrow) indicating that price may struggle to go higher in the short term. GoNoGo Trend painted a majority of weaker aqua bars as price settled into a sideways channel that we see highlighted on the chart. Reflecting this tug of war between buyers and sellers at this level, an Extended Max GoNoGo Squeeze formed, which has finally been broken and we see momentum moving into positive territory on heavy volume. GoNoGo Trend is painting a strong blue bar as price threatens to break for new higher highs. We will watch to see if this burst of momentum in the direction of the “Go” trend will help price consolidate at these levels before perhaps pushing on higher.
