Argenx Jumps 5.04% as Technicals Signal Bullish Momentum Above Key Moving Averages

argenx (ARGX) advanced 5.04% in the latest session, closing at 568.04. This analysis examines key technical indicators using the past year's data.
Candlestick Theory
The recent bullish engulfing pattern (June 23 low: 534.23, June 24 close: 568.04) signals strong buying pressure after consolidation. Resistance is evident near 586.76 (June 12 peak), while support holds at 534.23 (June 23 trough). The decisive breakout above 550 on elevated volume suggests conviction, but sustained closes above 575 are needed to invalidate overhead resistance.
Moving Average Theory
The 50-day MA (551.2) crossed above the 100-day MA (549.8), indicating improving intermediate momentum. Price currently trades above both short-term averages but below the 200-day MA (575.1). This configuration hints at neutral-bullish bias, though a decisive move above the 200-day MA would signal robust long-term trend reversal potential. The proximity of key MAs near 550–575 creates a confluence zone.
MACD & KDJ Indicators
MACD histogram turned positive after a bullish crossover, confirming building upward momentum. KDJ shows %K (84) above %D (78), reflecting short-term strength but nearing overbought territory. Neither indicator exhibits divergence versus price, supporting the current uptrend’s integrity. However, KDJ’s proximity to overbought levels (90+) warrants monitoring for exhaustion.
Bollinger Bands
Volatility expanded as price rebounded from the lower band (534.23) toward the 20-period midline (556). The 5.04% surge pushed the candle near the upper band (576), suggesting near-term extension. Bandwidth contraction preceded the breakout, typical of volatility expansion phases. Current positioning indicates upside momentum but heightens reversal risk if volume falters.
Volume-Price Relationship
The 5.04% advance occurred on 360k shares – notably higher than the 30-day average volume of 320k. This confirms bullish conviction and contrasts with the preceding down days’ lower volumes. Recent accumulation (June 15: 694k shares on +5.54%) established a volume anchor, validating support near 540. Sustained volume above 350k would reinforce the uptrend.
Relative Strength Index (RSI)
RSI(14) reads 62, recovering from oversold (June 23: 28) but below the overbought threshold (70). Momentum is ascending but not extreme, allowing room for further upside. Bullish divergence occurred as price made lower lows (June 23) while RSI formed higher lows – a classic reversal precursor now validated by the 5% surge.
Fibonacci Retracement
Using the recent swing high (586.76 on June 12) and swing low (534.23 on June 23), key levels are:
- 23.6%: 546.5
- 38.2%: 554.3
- 50%: 560.5
- 61.8%: 566.7
The close at 568.04 breached the 61.8% retracement, indicating strong bullish momentum. Confluence exists at 575 (200-day MA + 78.6% Fib), making it a critical resistance test.
Confluence & Divergence Notes
Confluence at 575–586.76 (resistance combining the Fibonacci 78.6% level, 200-day MA, and prior price ceiling) presents a decisive hurdle. Volume-MACD-KDJ alignment supports bullish continuation short-term. No bearish divergences are detected across oscillators. However, RSI-KDJ proximity to overbought zones, coupled with Bollinger Band expansion, advises caution against chasing extensions beyond 575 without volume confirmation.