- Berkshire Hathaway nears $532 as bullish momentum drives robust price action.
- The stock continues to trade above important support, suggesting further gains are in the cards.
- Bulls push Berkshire Hathaway higher, with upward momentum unbroken above $528.
Berkshire Hathaway Inc. (NYSE: BRK.B) is on the tear, trading the day away at $528.73, a high in the session to $530.61. Shares recorded a gain of 0.66%, exhibiting sustained bullish momentum after piercing above a pivotal resistance level.
Upward Breakout and Market Momentum
The recent breaking out of the stock price above a parallel trading channel reflects a strong buying interest. Price action reflects a solid breakout above several resistance levels supporting the bullish side.
Momentum indicators reflect persistent bullishness reflecting increasing investor optimism. If the stock holds above key support areas, further advance is still probable. A retreat might, however, probe prior breakout levels, establishing the direction of the next move.
Recent market analysis from expert Ali Martinez on X stated that Berkshire Hathaway is nearing the $532.00 mark. He again confirmed that last month’s breakout of the parallel channel set the stage for this rally, and price action still supports gains.
Source: Ali Martinez
Referring to the recent trend, Martinez added that the breakout of the stock above past highs is a sign of strong demand, with room for further price appreciation. He noted that Berkshire Hathaway traded in a consolidation range before it experienced a steep decline in November. The price then reversed as demand improved, forming a steady upward trend that continued into the new year.
Key Support and Resistance Levels and Price Action
A few horizontal levels on the time frame indicate important support and resistance zones. The price broke the $502.00 resistance level before it moved towards $530.00, where some kind of consolidation was observed. A strong breakout above this level could lead the way for further gains.
Martinez observed that prior price action shows significant support levels at $502.00, $486.00, and $462.50, where earlier buying interest was seen. These levels were significant turning points in previous pullbacks, controlling the recovery of the stock.
Candlestick patterns reflect rejection and accumulation patterns, showing market participation at significant price levels. The action of the stock reflects a series of higher highs and higher lows, confirming a bullish trend.
