$HPE – Potential Double Top Reversal in Play?

HPE

The stock is testing critical support at $20.55, which serves as the neckline of a potential double top reversal pattern. The stock remains in a broader uptrend since March 2020, but the current price action is showing increasing downside pressure, putting this key level at risk.

🔹 Bearish Scenario – Breakdown in Focus:
A clear break below $20.55 could confirm the double top pattern, opening the door for a move toward $16.78, where the long-term ascending trendline from March 2020 aligns. This would represent a -18% decline and signal a potential shift in market structure.

🔹 Bullish Outlook:
As long as HPE holds above $20.55, the uptrend remains valid. A bounce from this level could see price retesting resistances at $21.98, $24.24, and $24.66.

🔹 Resistance and Support Levels:
📉 Support: $20.55 (neckline), $20.34 (most recent fractal support), $15.77
📈 Resistance: $21.98, $24.24, $24.66

Happy Trading,
André Cardoso

💡Risk Warning: Trading financial assets carries a high level of risk and may result in the loss of all your capital. Make sure to fully understand the risks involved before you start trading and carefully consider your investment objectives, level of experience, and risk tolerance. The data and information provided in this content do not constitute financial or investment advice and should not be considered as such. Only invest what you can afford to lose, and be aware of the risks associated with trading financial assets.