The Picks and Shovels of The AI Boom

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1. Six-Month Price Trend
Long-term uptrend: Over the past 6 months, VRT has climbed from ~ $54 to a recent high around $155—deep into a clear bullish channel

Pullbacks vs higher lows: Corrections have consistently bounced off rising trend-lines and key moving averages (50 & 200-day), reinforcing the uptrend .

🛡️ 2. Key Support & Resistance Levels
Support: Near the 50‑day SMA (~$108–$110)—previous pullbacks found strong buying interest here.

Fibonacci retracement zone: Around $117–$117.5 (61.8% from the 52-week high) also has historical support .

Resistance:

Around $155–$156, the recent 52-week high marks the first major hurdle.

Interim resistance around $128–$130, aligning with various pivot point R‑levels and the 6-month consolidation top .

📊 3. Momentum Indicators
Financhill & ChartMill: RSI ~66.6–69.7, moving toward overbought but not extreme

Barchart shorter: 62–64—still in bullish-neutral range

MACD

Positive MACD reading: Values range from ~0.11 to +5.7, indicating bullish crossover momentum

Histogram and signal remain supportive of upward momentum.

Stochastics & ADX

Stochastics: Hovering in the 80s (overbought) but often remains elevated during strong uptrends

ADX ~28–29: Indicates a strong trending stock

⚖️ 4. Overall Technical View
Moving averages: 8, 20, 50, 100, 200‑day (both SMA & EMA) are all positively sloped with price above each—bullish alignment across all timeframes

MACD & RSI: Bullish, with MACD above signal line and RSI in bullish territory (though nearing overbought).

Chart patterns: Active long positions, cup‑and‑handle formations, and break above 50 & 200‑day EMAs suggest continuation setups.

✅ 5. Conclusion
VRT is firmly in a bullish technical regime:

Uptrend confirmed by price structure and moving averages.

Momentum indicators (MACD, RSI, ADX) support continued upside.

Key levels to watch: Support near $117–$110, Resistance around $130 and $155.

Recommendation: The setup favours bullish continuation. That said, RSI nearing overbought (~70) suggests caution—look for short-term consolidation or mild pullbacks before new entries.

Final stance: Bullish, with an eye on consolidation phases for optimal timing.

🧭 6. Watch Points
Break above $155 on strong volume = next leg higher.

Drop below 50‑day SMA (~$108) with weakness could signal deeper retracement.

RSI sustaining above 70 may lead to short-term kicker higher—or signal an overextension pause.

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