Why Has UTime Stock Been In A Free Fall?

Why Has UTime Stock Been In A Free Fall?

UTime LTD. UTME shares traded higher Friday as retail traders tried to catch the bounce following the stock's plummet Thursday. The stock saw a drop from $75 to $14 Thursday, and now traders are trying to catch the rebound.

The stock has a small amount of outstanding shares, meaning that it is easier for the stock to move than those with bigger floats.

UTime was up 6.68% at $17.25 at last check Friday. 

UTime Daily Chart Analysis

  • Shares saw a large drop on Thursday pushing the stock well below support. The stock started to make a small rebound Friday.
  • The stock is trading below the 50-day moving average (green), indicating sentiment in the stock is bearish.
  • The 50-day moving average may hold as an area of resistance on the chart.

Key UTime Levels To Watch

  • The stock saw a large dropoff and is now looking to find support. As the stock is in a freefall, it may be difficult for traders to tell exactly where it may go.
  • The stock previously held support near the $30 level before breaking below; now this level may hold as a potential resistance level.
  • The stock may find support near the Thursday low around the $15 level; if this level cannot hold as support the stock may be prone to fall more.

What’s Next For UTime?

Bullish technical traders would like to see the stock find support somewhere and make a bounce back up. Bulls would like to see the stock find a bottom and start to form higher lows and head back toward the possible resistance around $30.

Bearish technical traders would like to see the stock continue to fall. Bears would like to see the stock fall below the low on Thursday and continue to fall. Bears are currently in control of the stock.

Posted In: Long IdeasShort IdeasTechnicalsMoversTrading Ideas