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Blackberry Stock Price Gains More Than 30% As Meme Mania Intensifies

Blackberry stock price (NASDAQ: BB) has now more than doubled in the last three weeks, fueled by a resurgence of Januarys hottest investment theme.

In yesterday’s report, I discussed the bullish outlook for BB stock. I optimistically forecast a +50% upside for the enterprise software company. 24 hours and +32% later, that optimism is looking a little conservative.

At yesterday’s peak of $16.66, BB was +44% higher than Tuesday’s close. The stock eventually closed at $15.25, its highest close since the 2nd Of February.

Over the past 2 weeks, the basket of stocks favored by WallStreetBets has roared back to life. Blackberry stock, along with Gamestop (NYSE: GME), AMC Entertainment (NYSE: AMC), among others, all share similar traits.

Firstly, towards the end of last year, their share prices were all trading close to multi-year lows. Secondly, Institutions had taken large bearish bets on the companies. This presented what turned out to be a once-in-a-lifetime opportunity for longs.

From November 2020 to the end of January 2021, the Blackberry stock price exploded from $4.00 to $28.77, gaining +560% in two months.

Over the last two weeks, the bull run from $7.71 to $15.25 has investors wondering if history can repeat itself.

BB Price Outlook

It isn’t straightforward predicting how high the current rally will go. For now, at least, the price is gaining momentum, which would suggest it still has some gas left in the tank.

My initial target was $18.00. However, given the strong performance, the price could overshoot this area, potentially by a long way.

Below the market, the price is supported at the March high of $12.50. Below that, the 100-day moving average at $10.44 becomes the next level to watch. A close below these levels would suggest that the upside momentum has failed.

While fortunes can be made in markets like this, they can be lost even easier. Blackberry is likely to experience volatile trading conditions for some time to come, and traders should pay close attention to news flows. January’s parabolic rally disappeared as quickly as it started. And this one could too, but what price that comes from remains to be seen.

Blackberry Stock Price Chart

blackberry stock price

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