All circuits connected for NXP Semiconductor to move higher

• Posted by Greg Harmon
• on April 13th, 2016

NXP Semiconductor ($NXPI) is one of the companies that created NFC technology, allowing mobile phones to be used to pay for goods. Should be a good thing right? Well its stock started a move a move lower off of a peak in June 2015. Steadily running lower, the stock carved out a falling channel, bouncing off of support and resistance for over a year. That looks to have ended over the last 2 weeks.

That is when the price broke this channel to the upside for the second time in a month, and held the break out. The price has recently found support from the 20 day SMA and was consolidating. Until Wednesday that is. This is when the price broke that consolidation to the upside. It is also notable due to the fact that the price moved over its 200 day SMA for the first time since October. So what is in store for it now?

The break higher gives a Measured Move to about 100 in the price. This would be back at the October high. It would also make the first major higher high in the stock. This would likely draw more investors to the stock. The momentum is supportive of continued upside movement as well. The RSI is in the bullish zone and rising while the MACD is about to cross up, giving its own buy signal. All that is left is for you to plug this chip maker into your portfolio and reap the benefits.

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