CoreWeave Jumps 7.6% to $120.47 on Bullish Reversal Signals

CoreWeave (CRWV) gained 7.60% to close at $120.47 in the latest session, rebounding strongly from the prior day's decline on elevated volume of 37.3 million shares. This bullish impulse completes a recovery of approximately half the losses sustained in the previous three sessions.
Candlestick Theory
The September 10th session formed a decisive bullish engulfing pattern after three consecutive bearish candles, signaling a reversal. Recent action includes a bullish hammer on September 9th near $97 support, followed by an upside gap on the 15th that failed to close, establishing $116 as immediate support. Resistance is evident at $124.9 (September 10th high). The recovery structure from the $93.34 low suggests accumulation, with closing prices consistently above open since September 8th.
Moving Average Theory
The 50-day SMA ($121.65) converges with the 100-day SMA ($119.23) to create a critical resistance zone just above the current price. The 200-day SMA ($107.47) provides foundational long-term support, having contained the September 9th low. Price remains below the 50-day SMA despite the recent rally, indicating residual bearish pressure. A golden cross may materialize if the 50-day reclaims the 100-day, while failure below $121.65 may trigger mean reversion toward the 200-day SMA.
MACD & KDJ Indicators
MACD (12,26,9) shows histogram bars decreasingly negative since September 9th, signaling weakening bearish momentum, though the signal line remains below zero. KDJ (9,3,3) presents a bullish crossover with K-line (42) rising above D-line (38) from oversold territory, implying building upside momentum. The KDJ-MACD alignment favors continuation, though the MACD’s position below zero warrants caution.
Bollinger Bands
Bands contracted sharply during the $93-$111 consolidation (Sept 5-12), reflecting diminished volatility before the 7.6% breakout. Price has now rallied from the lower band to challenge the middle band (20-SMA at $121.5). A sustained break above this midline could signal renewed bullish momentum targeting the upper band near $140. The bandwidth remains narrow, suggesting volatility expansion potential.
Volume-Price Relationship
The September 10th advance on 70.1 million shares (year’s third-highest volume) validated the bullish reversal. The September 15th rally occurred on above-average volume (37.3M vs. 20-day avg 32M), confirming buyer commitment. Distribution patterns emerged during August’s decline (e.g., August 14th -15.5% drop on 51M shares). Current volume profiles support bullish continuation.
Relative Strength Index (RSI)
The 14-day RSI at 55 neutralizes from oversold (<30) levels observed mid-September, showing room for upside before overbought (>70) concerns arise. Previous overbought peaks (June: 84, August: 79) preceded pullbacks, while oversold troughs (May: 28, September: 31) enabled rallies. Current positioning eliminates immediate exhaustion risks.
Fibonacci Retracement
Applying Fib levels to the June 23rd high ($183.53) to September 9th low ($97.05) yields critical thresholds: 23.6% ($111.38 – reclaimed Sept 15th), 38.2% ($121.50 – current resistance), and 50% ($130.29). The bounce reached the 38.2% level, aligning with the 50-day SMA. A sustained break above $121.50 suggests a 61.8% retracement target at $139.
Confluence & Divergence
Confluence exists at $121.50-122, where the 50-day SMA, 38.2% Fib, and Bollinger midline converge. A decisive break above would align moving average crossovers, volume confirmation, and KDJ signals, strengthening bullish prospects. Minor divergence exists as MACD lags the RSI/KDJ recovery momentum – needing a signal line cross above zero for confirmation. CoreWeave’s ability to hold above the $116-117 volume-supported zone is critical for continuation.