The Plug Power share has recently taken great strides in the direction of the north, bringing investors substantial price gains. The upward trend was fuelled by politics, among other things. According to media reports, a bill has been drafted in Washington State that provides for comprehensive subsidies for hydrogen vehicles.
Among other things, significant tax breaks are planned for the period from 2023 to 2029. The proposal still has to be approved, but apparently few doubt that problems could arise. Accordingly, the whole thing caused the Plug Power share to soar again last week.
How should this be interpreted?
On Wednesday, the bulls were able to catapult the Plug Power share temporarily to a new annual high of 24.29 euros. However, this level could not be defended until the weekend. In the following days, profit-taking affected the stock. After red signs were seen on Thursday, the share price fell by a further 0.5 per cent on Friday.
Should investors sell immediately? Or is it worthwhile to buy Plug Power after all?
At the end of the weekend, the share finally found itself at 21.98 euros and thus just below the 22-euro line, which was established as a short-term support in November. From a chart perspective, the stock is at an interesting
interesting level, which leaves pretty much everything open for the coming days.
Not without risk
In and of itself, investors have no reason to complain despite the noticeable corrections of the last two trading days. The Plug Power share is still at a very high level and the long-term upward trend is unbroken. Whether this will continue, however, is another matter.
Below 22 euros, there is little on the chart that would prevent a fall towards 20 euros. Now, chart technique alone is not everything. Nevertheless, it is anything but certain that we will see price gains again in the new week or whether there will be a real sell-off. So there is no doubt that it will remain exciting.