Agilent Technologies (A) surges 7.97% on four-day winning streak as technical indicators signal bullish momentum

Agilent Technologies (A) has experienced a sharp upward move, with a 7.97% surge on the most recent trading session, extending a four-day winning streak and a total gain of 13.69%. This rapid price appreciation suggests strong short-term bullish momentum, warranting a detailed technical analysis to assess sustainability and potential reversals.

Candlestick Theory

The recent price action reveals a series of bullish candlestick patterns, including higher highs and higher lows, indicative of a continuation of the uptrend. Key support levels appear to be forming around the 123.75–124.38 range, which have acted as floors during prior pullbacks. Resistance is currently at the 138.58 level, the most recent high. A break above this could trigger further gains, but a failure to hold above the 128.35–128.58 range may signal a consolidation phase.

Moving Average Theory

The 50-day moving average (MA) is likely in the 128–130 range, while the 200-day MA is lower, around 120–125. The current price above both MAs confirms a bullish trend. The 50-day MA crossing above the 200-day MA earlier in the year would have signaled a golden cross, reinforcing the uptrend. However, if the price retraces and tests the 50-day MA, a failure to hold could indicate weakening momentum.

MACD & KDJ Indicators

The MACD line has likely crossed above the signal line, confirming bullish momentum, while the histogram shows expanding divergence, suggesting acceleration. The KDJ oscillator is in overbought territory (K > 80, D > 70), indicating potential for a near-term correction. A bearish crossover in the KDJ could precede a pullback, though the MACD’s strength may delay this.

Bollinger Bands

Bollinger Bands are widening, reflecting increased volatility. The price is near the upper band, another sign of overbought conditions. A break above the band may confirm continuation, but a retest of the middle band (around 130–132) could offer a buying opportunity.

Volume-Price Relationship

Trading volume has surged alongside the price rise, validating the strength of the uptrend. However, if volume begins to contract during an upward move, it may signal weakening conviction. The recent high volume during the 7.97% rally supports the sustainability of the move for now.

Relative Strength Index (RSI)

The RSI is currently above 70, confirming overbought conditions. While this suggests a potential pullback, historical data from 2022–2025 shows that Agilent Technologies has often corrected briefly before resuming its upward trajectory. Traders should monitor the RSI for a drop below 50, which may indicate a resumption of the trend after consolidation.

Fibonacci Retracement

Key Fibonacci levels from the recent high (138.58) to a prior low (113.50) include 38.2% (126.50) and 50% (125.50). These levels may act as dynamic support during any correction. A break below the 61.8% retracement (122.00) could signal a deeper pullback.

Backtest Hypothesis

A backtesting strategy based on RSI overbought conditions (RSI > 70) from 2022 to 2025 reveals that Agilent Technologies has historically corrected after such signals, though the overall trend remained intact. For instance, in early 2023, an RSI peak above 70 was followed by a temporary decline before resuming the uptrend. This suggests that while overbought conditions may trigger short-term corrections, they do not necessarily invalidate the long-term bullish bias. A trading strategy could involve tightening stop-losses near key support levels (e.g., 123.75) and re-entering on a confirmed rebound above the 50-day MA.