Affirm Stock Price Continues To Rally After Cyber Monday Sales
Affirm (NASDAQ: AFRM) stock price extended its gains on Tuesday. After a 12% surge on the day of Cyber Monday sales, the stock went up another 10.79% today. The positive price action is reportedly driven by Jefferies upgrade and the expectations that a record amount of shoppers may use buy now, pay later (BNPL) services in this festive season.
In the latest development, Jefferies has upgraded Affirm stock to ‘hold’ from its previous ‘underperform’ rating. While doing so, the investment bank has also raised the price target to $30 from $9.5. This major shift in price target was one of the major tailwinds for the shares of the BNPL firm.
While there could be more up upside for the stock in the coming weeks, still the ongoing rally needs to cool down by a pullback on the lower timeframe. Even though the price has broken above the $26 resistance, it still needs to flip it into a support level.
Technical analysis also validates the bullish Affirm stock price forecast. The only way for the bears to have a chance again is if the price breakdowns below $26 again which is less likely to happen as the holiday sales approach. Bulls are eyeing a retest of the demand zone which lies above $41.
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