What's going on moon gang, i hope all is going well in this video. I would like to talk about the exciting new stock palantir. First, i will be going over what caused the sell-off this past week and then i will be doing a technical breakdown of the stock, so we know what price levels to watch moving forward before i get into all that, though, if you're new to the channel, don't Forget to join the moon game by hitting the subscribe button, i'm working to hit 10 000 subscribers and your help with that would be truly appreciated. And as always, if you enjoyed this video, don't forget to drop a like, because it really helps with getting it in front of other traders and investors who may be interested and now that i got that out of the way.

Let's roll the tape. If you've been paying attention to palantir stock, you most likely know that it hasn't done the best over the past week. In fact, it dropped just under fourteen percent, which brings up the question. What on earth is going on now? If you watch my last palantir video, you know that citron came out with some negative comments on the stock.

I believe they called it. A full-blown casino and now palantir has received more bearish comments. This time from morgan stanley, palutear technology shares are tumbling. After morgan stanley, analyst keith weiss cut his rating on the stock from equal weight to underweight, and this is his second downgrade of the company in less than a month.

His reasoning for this is pretty simple. He thinks that the recent rally in the stock has gotten out of hand and is currently overextended. He said little has changed in the company's fundamental story in recent weeks, leaving the risk to reward paradigm decidedly negative, and his current price target is 17 with. That being said, though, he did seem pretty upbeat on the company's future.

He noted that palantir offered a unique combination of revenue, growth, acceleration and rapid margin, expansion undervalued by the market. So, basically, in the short term, he believes that the stock's dramatic rally has granted palantir a large valuation premium over other software-as-a-service companies, but in the long term he believes that palantir is well positioned to one day grow into this valuation. In the short term. I do understand where both citron and morgan stanley are coming from.

The recent rally was pretty sizable, but in the long term i am bullish on palantir. It is in a great business sector, data analytics and software, and one of its largest customers is the us government, which is a very reliable source of revenue and on top of all that, palantir is another peter thiel company, which makes me very confident in the management Team now that we got the recent news out of the way - let's see what's going on in the charts palantir closed out the week by dropping 0.75 percent, which puts its stock at twenty three dollars and eighty five cents. The action was pretty light because the total volume of shares traded was pretty much half of its own ten day average. Over the past week, palantir is down fourteen percent over the past month, it's up 122 and since it ipo'd at the end of september, the stock is currently up 138 percent.

These sizeable returns over both the past two months and one month helps to put this draw down over the past week into a little bit of perspective. For those of you who are new to the channel. Here's a quick recap of what's been going on. Palantir was founded in the early 2000s, but it ipo'd on september 30th of this year and up until november 5th, the stock was range bound between nine dollars and eleven dollars.

But there eventually was a breakout and a rally to a new relative high at 17 and then, after two days of consolidating the stock pumped up again reaffirmed this trend line and then rallied to its current all-time high of 33 dollars and 50 cents. Then the party became a little bit less fun when both citron and morgan stanley came out with their bearish comments from this all-time high. At one point, the stock was down 33 percent, but as of now it is down 29 based on recent price action. Palantir stock is currently in a region of support, so if this were to hold the next levels, i would be looking for would come at 28, and then this would be followed by 30.

from the most recent close. That would be a gain of 17 and a gain of 25 percent. On the other hand, if the bull camp doesn't get their act together and the stock is pushed below this region, we could watch the most recent relative low of 21 dollars for support. This would then be followed by the trend line, and after that we have 17.50.

If this bearish scenario were to play out, those would be drops of 12 and 27 percent in terms of the rsi. There really isn't too much data to go off of when palantir hit its all-time high. The rsi was clearly in the overbought territory, but with the recent decline, the rsi has had the opportunity to cool off just a bit moving forward, i'm looking for palantir to build a strong foundation at a key level of support which would allow the rsi to come Down even more and from there, it would have everything it needs to make its next move higher, but to get a better idea of what might happen over the next training week. Let's see what's going on in the 4-hour chart before we jump into this time frame, i wanted to quickly mention that the name of this charting software is tradingview and, if you're interested in it, there's a link to a free 30-day trial.

In the description of this video, if you sign up, it is a great way to support this channel anyway, ever since pound here posted its all-time high, the stock has been in this bull flag that recently broke out and over the past two days it has been Consolidating between 23.50 and 25, this consolidation has been happening in this region of support that was formed between november 25th and november 30th. If you take a look at the rsi you'll see that it's pretty much at 50, which is neutral, so that's not giving us any indication of which way this consolidation will break. As of now, it's pretty much a waiting game to see which way the stock will break. First, will the bulls push the stock above 25 or will the bears push the stock below 22.50? If the bears end up winning the next price level to watch would come at 21, but if the bow camp succeeds, i would recommend watching 26..

Personally, i am slightly favoring the bull case and that's because the overall trend of palantir stock has been up, but i'm only slightly favoring it because the recent trend has been neutral. If you watch my last palantir video, you know that i did buy some call options on the stock. Unfortunately, i had to sell those for a loss because over the past two days i was getting destroyed on theta decay, as this chart continues to develop. I would consider investing in the company at 22.50 and i would strongly consider investing closer to 20., as things continue to develop, both fundamentally and technically, with palantir i'll make sure to keep you updated in future videos and also keep you posted on if and most likely, When i invest in the company so make sure you have your notifications turned on thanks for making it to this point in the video.

Your support means a lot to me as a quick fyi. Everything expressed in this video are my own opinions and i am not a financial advisor, so i recommend that you do your own research with that being said, though, i would love to know your thoughts on palantir in a comment below. Do you think that the stock will continue to sell off, or do you think that this is just a momentary pullback if you're new to trading or if you're, just looking for a new trading, account, there's a link to the weeble trading platform? In the description of this video, if you sign up and make a deposit of 100 you'll be awarded four free stocks, so it's definitely worthwhile to check out and as always, if you enjoyed this video, don't forget to drop a like, and if you haven't already don't Forget to join the moon game by hitting the subscribe button. All that engagement really helps me out thanks for watching and until next time best of luck in the markets.

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