Snowflake Jumps 3.11% As Buyers Break Key Resistance At 200

Snowflake (SNOW) concluded the session at $200.39, posting a 3.11% gain, as buyers regained momentum after recent consolidation. The price action shows a solid close near the session high, reflecting emerging bullish conviction.
Candlestick Theory
Recent candlestick patterns highlight a tug-of-war between buyers and sellers. The August 8 session established a swing low at $191.73, characterized by a long red candle on elevated volume, signaling capitulation. Subsequent indecision candles consolidated near $194–$197 until the August 27 bullish white candle broke above this zone, closing near its high. Key resistance now lies at the psychologically significant $200 level, which aligns with the 23.6% Fibonacci retracement (detailed later), while immediate support is reinforced at $194.50, coinciding with the 50-day moving average. A sustained close above $202.54 (August 27 high) would validate bullish continuation.
Moving Average Theory
The moving average structure depicts a corrective phase within a broader uptrend. The 50-day MA ($203.5) recently crossed below the 100-day MA ($208.1), reflecting short-term bearish pressure. However, both remain firmly above the ascending 200-day MA ($178.8), confirming the long-term uptrend. Price currently trades between the 50-day and 100-day MAs, signaling consolidation. The critical watchpoint is whether the 50-day MA stabilizes near $200; failure could accelerate selling toward the 200-day MA, while a rebound above the 100-day MA would reinvigorate bulls.
MACD & KDJ Indicators
The MACD histogram turned positive two sessions ago, with the signal line (-2.1) crossing above the MACD line (-2.4), suggesting nascent bullish momentum. Meanwhile, the KDJ oscillator shows %K (42) crossing above %D (38) from oversold territory, supporting a short-term rebound thesis. However, both indicators remain in negative territory and below their midlines, indicating the recovery lacks conviction. Confluence exists for potential upside, but MACD’s position below zero warrants caution.
Bollinger Bands
Bollinger Bands exhibit notable contraction, with the 20-day band width narrowing to 7.4% (from 11% three weeks prior), signaling dampened volatility and an imminent breakout. Price currently rides the middle band ($198.1), with the upper band at $206.8 and lower band at $189.4. The recent close above the middle band favors upside resolution, though a definitive breach of $206.8 is needed to confirm bullish expansion.
Volume-Price Relationship
The August 27 rally occurred on 16.99M shares—significantly above the 10-day average volume of 9.8M—validating buyer commitment. This follows a volume climax on August 8 (16.8M shares) marking the swing low. However, August’s pullbacks consistently saw lighter volume than advances, suggesting distribution is minimal. The volume profile supports bullish continuation if follow-through buying materializes.
Relative Strength Index (RSI)
The 14-day RSI (46) rebounded from near-oversold territory (34 on August 8) but remains below the neutrality threshold of 50. This indicates bearish momentum persists at the intermediate level, though improving conditions warn against aggressive shorts. Divergence is absent, as RSI’s recovery aligns with price. A break above 50 would signal strengthening bullish momentum.
Fibonacci Retracement
Applying Fibonacci to the recent swing high ($229.27 on July 31) and swing low ($191.73 on August 8), key retracement levels emerge: 23.6% ($200.59), 38.2% ($206.07), and 50% ($210.50). The August 27 close at $200.39 positions price precisely at the 23.6% resistance—a critical inflection point. Volume-backed clearance of $200.59 could trigger acceleration toward $206 (38.2%), where the 100-day MA converges. Failure here may reactivate the downtrend toward $191.73.
Confluence and Divergence
Confluence exists at $206–$207, where the 38.2% Fibonacci level, 100-day MA, and Bollinger upper band converge, creating a formidable resistance zone. The absence of material divergences across oscillators supports price’s technical narrative of consolidation after a correction. Notably, the break of $194.50 support would validate a bearish shift. Probabilistically, the weight of evidence leans toward a relief rally toward $206–$207, but sustained momentum requires clearance of the 50-day MA and volume confirmation.