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Multi-Year Cup & Handle Breakout In Play For This Semiconductor Stock

Published 11/05/2021, 11:59 AM
Updated 07/09/2023, 06:31 AM

MTSI Long-Tem Chart.

With the U.S. stock market in bull mode and tech stocks surging, there is no shortage of strong stocks out there.

Today, we share a tech stock that is breaking out of a very bullish price cup with handle pattern: MACOM Technology Solutions Holdings Inc (NASDAQ:MTSI).

As you can see, MTSI’s stock price formed a very large “cup” pattern from 2017 to 2020. And over the past year, the “handle” took shape.

At that point, it was simply a waiting game to see if and when price would breakout. Well, that happened this week, with MTSI moving from $69 to up over $75.

Catalysts include strong earnings and rising analyst price targets (i.e. Barclays (LON:BARC)). Traders will have to watch the breakout zone to ensure that MTSI remains a winner, but so far, so good.

Could Macom Technology Solutions (MTSI) be the next big winner? Stay tuned.

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