Seagate Technology Rises 1.03% to $119.15 as Bullish Technicals Signal Continued Upside

Seagate Technology (STX) closed at $119.15 on June 2, 2025, gaining 1.03% for the session. The following technical analysis examines key indicators and potential price movements.
Candlestick Theory
Recent candlestick patterns show a bullish breakout, with the June 2 session closing near its high of $119.76 after rejecting the $116.78 low. This follows a consolidation period between $116.28 and $119.13 from May 28–30. The decisive close above $119 establishes new resistance at $119.76, while the May 29 low of $116.28 and the May 27 swing low of $113.20 serve as immediate support levels. The lack of pronounced upper wicks suggests sustained buying pressure.
Moving Average Theory
STX maintains a bullish long-term trajectory, trading well above its 200-day moving average (approx. $95–$100 range). The 50-day MA (approx. $110–$115) and 100-day MA (approx. $105–$110) both slope upward, confirming the primary uptrend. The price has consistently held above the 50-day MA since early May, with the May 23 rally from $108.28 demonstrating strong adherence to this dynamic support. Golden crosses between these averages earlier in the year reinforce structural bullishness.
MACD & KDJ Indicators
MACD shows a positive histogram with the signal line below the MACD line, supporting near-term momentum. However, KDJ indicates overbought conditions, with the June 2 close yielding a K-value near 96 (based on a 9-day high/low range of $103.73–$119.76). This divergence suggests waning upside momentum despite the price high. While MACD confirms trend strength, KDJ warns that consolidation or retracement may be imminent if the K-D lines cross downward.
Bollinger Bands
Volatility expanded notably during the May rally, with price touching the upper band on June 2 ($119.76). Band width remains elevated but has contracted slightly relative to late May. The current upper band near $120 provides resistance, while the 20-day midline ($116) offers immediate support. A sustained close above $120 would signal breakout strength, though proximity to the upper band coupled with KDJ readings favors range-bound action short term.
Volume-Price Relationship
Volume during the May 22–23 surge (8M and 6M shares) validated the rally’s initial phase. However, the June 2 breakout occurred on 3.1M shares—below the May 30 down-day volume (4.4M) and significantly lower than prior rallies. This divergence raises sustainability concerns for new highs. Volume must expand above 4M shares on subsequent up days to confirm bullish conviction.
Relative Strength Index (RSI)
The 14-day RSI is estimated at 75–80, solidifying overbought territory. This aligns with KDJ warnings but occurs within a strong uptrend where RSI can remain elevated. The current reading is the highest since April’s rally, increasing reversal probability. A break below 70 would signal waning momentum; sustained readings near 80 require commensurate volume confirmation to avoid exhaustion.
Fibonacci Retracement
Applying Fibonacci to the April 9 low ($63.19) and June 2 high ($119.76) yields key retracement supports: 23.6% ($106.41), 38.2% ($98.15), and 50% ($91.48). The $106–$107 zone converges with the May 12–13 consolidation area and the 23.6% retracement, creating a high-probability support level. A pullback to this zone would offer a potential entry, with the 38.2% level near $98 acting as stronger support should volatility intensify.
Confluence & Divergence Observations
Confluence exists between Fibonacci support ($106.41), horizontal support ($106–$113), and the 50-day MA near $110, underscoring $106–$113 as a critical buffer zone. Bearish divergences emerge via RSI/KDJ overbought signals amid declining breakout volume. Moving averages and MACD maintain bullish alignment, but waning momentum oscillators and unconfirmed volume urge caution toward new long positions at current levels.