The Clover Health stock price looked close to flat-lining last week. But now CLOV is out of ICU and hoping to make a full recovery.
Clover Health Investments Corp (CLOV: NASDAQ) finished the day at $13.36, up $0.56 (+4.37%)
After closing just above the $12.00 support level on Friday the 18th, CLOV had everything to play for in last week’s trading. And on Monday’s close of $11.24, it seemed the stock was on its way back to single digits.
However, something else happened Monday. The 50-day moving average completed a bullish crossover of the 100-day, and by Wednesday, CLOV was back above $15.00. Although, the rally faded towards the end of the week, and the stock finished proceedings at $12.60 on Friday.
CLOV kicked off this week in subdued fashion. Monday’s 6% trading range was the second tightest this month. However, yesterday launched a fresh attempt on $15.00 but fell short at $14.44. Although, the bulls will be pleased by the appearance of only the third green daily candle in the last 15 sessions.
This suggests that the bears may not be out of the woods just yet.
According to Swaggystocks.com, Clover health is the second most mentioned stock on Reddit’s Wallstreetbets investor forum, making up more than 15% of the sub’s activity.
Furthermore, Shortsqueeze.com shows 36.71% of the available float is in the hands of short-sellers. This remains incredibly elevated and leaving the Clover Health stock price vulnerable to squeeze attempts further down the line.
That being considered, CLOV might have another sting in its tail for the shorts. Furthermore, as long as the stock sustains the $12.00 level, the technicals support the positioning and point to higher prices.