America Mobile Jumps 4.40% on Bullish Breakout With Highest Volume in a Month

America Mobile (AMX) advanced 4.40% in the most recent session, closing at $18.97 on elevated volume of 4.06 million shares – the highest daily turnover in over a month – signaling strong bullish conviction as price broke through key resistance levels.
Candlestick Theory
The August 7th session formed a decisive bullish marubozu candle, engulfing the previous three days' range after testing support at $17.90-$18.00 multiple times in July. This pattern confirms the significance of $19.00 as immediate resistance (tested but not surpassed) and establishes $18.30 as new support. Prior price action shows consistent rejection of prices below $16.80, which now serves as major long-term support.
Moving Average Theory
The 50-day SMA ($17.45) recently crossed above the 100-day SMA ($17.20), while both maintain upward slopes above the rising 200-day SMA ($16.10). This golden cross configuration confirms a strengthening intermediate uptrend. The current price trades 8.7% above the 50-day average, suggesting potential for near-term consolidation but within a firmly bullish long-term structure.
MACD & KDJ Indicators
MACD (12,26,9) shows a bullish crossover emerging above the signal line with histogram bars expanding positively – the strongest momentum reading since May. Simultaneously, the KDJ oscillator has %K (88) and %D (82) penetrating overbought territory, though without bearish divergence. This confluence suggests strong upside momentum that could sustain briefly before potential exhaustion near $19.50 resistance.
Bollinger Bands
Price breached the upper Bollinger Band ($18.85) on August 7th during a band expansion phase (20-day volatility increased 40% week-over-week). Such breakouts during expansion periods often precede continuation moves. The basis line (20-SMA at $18.10) now acts as primary support, with a close below potentially triggering mean reversion toward $17.70.
Volume-Price Relationship
The breakout was validated by volume surging 124% above the 20-day average – the highest upside volume since the June 20th reversal. Distribution days were absent during the July base formation, while accumulation patterns emerged at $17.00-$17.50. Volume profile highlights high-density nodes at $17.25 and $18.00, which should provide support on pullbacks.
Relative Strength Index (RSI)
The 14-day RSI (68) approaches overbought territory but remains below the 70 warning threshold. Notably, it maintains a series of higher lows since April – a divergence from the May-June price consolidation that foreshadowed the current uptrend. While short-term overextension risk exists above RSI 70, the current reading suggests room for additional upside.
Fibonacci Retracement
Applying Fib levels to the March-April advance ($14.09-$19.015), key retracement supports emerge at $17.35 (38.2%) and $16.85 (61.8%) – levels that aligned with major bounces in May and July respectively. The 127% extension level at $19.90 becomes the next upside target following the $18.35 breakout.
Confluence and Divergence
Notable confluence exists at $18.25-$18.35, where the July resistance, 20-day SMA, and volume point of control converge to form robust support. The KDJ overbought condition diverges slightly from MACD (which hasn't reached extreme levels), suggesting pullbacks may be shallow. Crucially, no bearish divergences are apparent across oscillators near current highs – a sign the uptrend may have staying power toward the $19.50-$20.00 resistance zone before significant profit-taking emerges.