Reddit Inc (NYSE:RDDT) has seen a 12.13% decline in its stock over the last five days, closing at $60.21 a share on Tuesday. Discussions on Reddit are actively exploring the stock's recent downturn and speculating on the prospects of Reddit's future.
Reddit Down 14% In Last 48 Hours
byu/YomanJaden99 inRedditIPO
A post on r/RedditIPO by user YomanJaden99 highlights Reddit's recent price action, stating that the stock is hovering around the $55-$60 range, presenting an opportunity to profit before the expected "next wave hits Early July."
User lascar sees this as an accumulation phase and predicts the stock will hover between $58-$61.
User No-Disaster1829 expresses interest in buying when the stock dips below $50, while user Bobinct plans to re-enter if the stock drops below that level.
Also Read: Reddit's Enhanced Advertising Tools Drive 'Sizable Upside': JPMorgan
Reddit Stock – Moderately Bullish Trend With Slight Buying Pressure
In terms of technical indicators, Reddit's stock is experiencing slight buying pressure, with the current trend being moderately bullish.
The 8-day simple moving average (SMA) is above the current share price, indicating a near-term bearish signal (validating Redditors' expectations that the stock could go down to the $50 area).
However, the 20-day SMA and the 50-day SMA are below the share price, suggesting a medium-term bullish signal.
The Moving Average Convergence Divergence (MACD) indicator at 1.97 suggests bullish momentum, and the Relative Strength Index (RSI) is at 51.65, implying Reddit stock is currently neither overbought nor oversold.
Overall, Redditors seem optimistic about Reddit's stock, anticipating a potential rebound and a bullish trend leading up to July. However, some users remain cautious, waiting for a further dip in the stock price before re-entering.
Photo: Shutterstock