Meta Platforms Inc
The company's remarkable journey from November 2022 to July 2023 demonstrates determination, adaptability, and forward-thinking.
During this period, the stock experienced an extraordinary surge of 269%. However, after reaching its peak at $326, the stock entered a consolidation phase as buyers appeared to have exhausted their momentum.
The ceiling at $326 caused a major shift, leading to a significant 15% drop that saw the stock price plummet to $274.
This decline is important not only in terms of numbers but also because it relates to key technical indicators.
It is noteworthy that, for the first time this year, Meta's stock price fell below both the 20 and 50 simple moving averages, which had previously provided strong support during its bullish phase.
Despite recent challenges, Meta has shown remarkable resilience and gained the market's trust in its potential.
The stock not only reclaimed its position back above the 20 and 50 simple moving averages but also surged past the significant $300 level. Since its recent low, Meta's stock has climbed an impressive 13%.
Meta's stock resurgence can be attributed to its ambitious plans in the field of artificial intelligence. According to reports, Meta is in the initial phases of creating a chatbot that could potentially compete with OpenAI's GPT-4 in terms of complexity.
The company intends to start training these new language models in 2024, highlighting Meta's dedication to remaining at the forefront of technological advancements.
With the AI sector continuously progressing, it comes as no surprise that investors are optimistic about Meta's future, resulting in an upward trend for the stock.
If the stock can successfully surpass and maintain a close above $326, this would be a strong signal for bullish investors, suggesting a possible continuation of the upward trend.
However, it's worth noting that the next major hurdle lies at $343, the highest point reached in 2022.
Investors should be wary regarding the September 2021 all-time high of $384, as it has the potential to hinder the current momentum and buying activity.
After the closing bell on Thursday, September 14, the stock closed at $311.72, trading up by 2.18%.