Earlier this week, I shared a breakout pattern that I saw on Marvell Technology Inc. (NASDAQ: MRVL).
It’s developing on a new stock now…
Tech-related stocks are making a comeback after the initial selloff from the war in Iran.
I posted a specific tech watchlist here.
And it’s time to add a name to the list. There’s a stock pushing toward 52-week highs right now. And it already followed my breakout pattern once this week.
It’s a semiconductor stock, just like MRVL…
Look how MRVL shot past the highs from December. Now it’s consolidating by the breakout level, getting ready for another push higher:
The stock I’m watching right now has yet to make new 52-week highs…
This is our window of opportunity.
Intel Corporation (NASDAQ: INTC)
INTC just followed a Three Times a Lady breakout as it surged past $49.
Breakouts aren’t just to make new 52-week highs. We can also see explosive breakouts within a stock’s current range.
If you’ve been following me for a while, you know this pattern well…
- The stock tests a key resistance level once and pulls back.
- It tests it again and pulls back.
- And the third time it blasts through.
That’s exactly what happened on INTC.
On April 1, it looks like the stock touches the $49 level, but it’s a bit shy of it.
Here’s what makes this exciting: the breakout happened below the 52-week highs.
INTC just demonstrated it can follow a pattern and push higher with momentum… now it has an even bigger level to run toward.
The Level That Matters: $54.60
The 52-week high on INTC sits at $54.60, from the highs on January 22.
That’s our target.
When a stock proves it can follow a breakout pattern, like INTC just did, the next logical question is: what’s the next resistance level?
For INTC, the answer is $54.60.
Here’s the full chart:
And there’s news to back up the move…
Intel just announced plans to buy back the 49% stake in its Irish chip manufacturing facility, Fab 34, for $14.2 billion.
The company originally sold that stake to Apollo Global Management in June 2024 for $11.2 billion, a move that gave Intel the capital it needed during one of its worst years on record.
Buying that stake back two years later, and at a premium, tells us management believes the hard part is over.
It has a stronger balance sheet, a sharpened focus on CPUs for AI data centers, and Nvidia Corporation (NASDAQ: NVDA) is already integrating Intel’s Xeon 6 chips into its next-generation AI systems.
That’s a different company from the one that was selling assets to stay afloat just a few years ago.
Watch intraday support and resistance carefully.
After a breakout, stocks don’t always sprint to the next target. They often pause, reset, and build new support to rally off of.
INTC may consolidate again before making its next push…
My approach: I want to see INTC hold its $49 breakout level on a pullback.
Patient people take money from impatient people. I’d rather wait for INTC to confirm support than chase it toward $54.60 without a defined risk level.
I’m watching INTC closely and will share updates as it develops.
Be good (and be good to others),
Ben Sturgill
*Past performance does not indicate future results. Not typical.
