AMC receives positive support - Analysis - 02-12-2022

AMC Entertainment Holdings' stock (AMC) rose in the intraday levels after pausing trading due to extreme volatility, after the company announced a plan to let go of 20% of the workforce in the US, while CEO Christina Speed left the company after just three months on the job, with the stock spiking 13.00%, or 94 cents, and settling at 8.17, with trading volumes surpassing 96.7 million shares, above 10-day averages of 29.1 million shares. 

Technically, the stock received support after leaning on the 50-day SMA, amid the dominance of the upward correctional short-term wave, while buoyed by piercing the downward trend line recently, countered by negative signals from the RSI after reaching overbought levels. 

Therefore we expect more gains for the stock, targeting the resistance of 10.75, provided the support of 6.96 holds on.

Expected trend for today: Bullish