We covered the charts of Upstart Holdings (UPST) on September 24 and wrote that "Traders should try to buy UPST in the $320-$300 area or basically on a shallow pullback. Risk to $275 for now. Our price targets are $360 and then $480 - three and four times the base at $120."
Traders got a pullback into early October that stopped above our stop point. Traders should be long and one subscriber sought out an update:
In this updated daily bar chart of UPST, below, we can see that prices dipped but quickly recouped those losses. UPST is poised to make new highs, in my opinion. Prices are above the rising 50-day moving average line and now above the rising 200-day line. Trading volume declined on the late September pullback and that is a positive as it suggests that traders were not aggressive sellers.
The On-Balance-Volume (OBV) line has stayed strong and that is another sign that is positive. The Moving Average Convergence Divergence (MACD) oscillator is narrowing and could soon give us a fresh buy signal.
In this weekly Japanese candlestick chart of UPST, below, we see a positive picture. Prices are in an uptrend with white or bullish candles. The 40-week moving average line has started off with an uptrend. The weekly OBV line is pointed up along with the MACD oscillator.
In this daily Point and Figure chart of UPST, below, we can see a $395 price target.
Bottom line strategy: Traders who went long UPST should continue to hold with a stop at $275 still. The $360-$395 area is our target for now.
