Echostar (SATS) Surges 4.29% as Technical Indicators Signal Bullish Trend Amid Key Support and Resistance Levels

Echostar (SATS) Technical Analysis
Echostar (SATS) surged 4.29% in the most recent session, closing at $111.61. This upward move follows a volatile week, with prices fluctuating between $106.60 and $122.99. The following analysis evaluates key technical indicators to assess the stock’s near-term trajectory.

Candlestick Theory

The recent price action suggests a potential bullish reversal pattern. A large bullish candle on February 6, closing near the high of the session ($112.31), indicates strong buying pressure. Key support levels emerge at $106.60 (February 5 low) and $103.08 (December 29 low), while resistance is clustered around $112.31–$114.82. A break above $114.82 (February 3 high) could target $122.99 (February 3 high), the prior all-time peak. However, a retest of $106.60 may confirm its validity as a dynamic support zone.

Moving Average Theory

Short-term momentum aligns with a bullish bias. The 50-day moving average (approximately $110.00) is above the 200-day MA ($95.00), signaling a bullish trend. The 100-day MA ($108.00) acts as a critical threshold: if prices hold above it, the uptrend remains intact. Confluence between the 50-day MA and Fibonacci 50% retracement level ($110.00) suggests a probable consolidation zone before a potential breakout.

MACD & KDJ Indicators

The MACD histogram has turned positive, with the MACD line (12,26,9) crossing above the signal line, confirming short-term bullish momentum. The KDJ stochastic oscillator (14,3,3) shows overbought conditions (K=85, D=78), but the absence of bearish divergence (price highs vs. oscillator highs) suggests continuation rather than exhaustion. A pullback below the 50-day MA may trigger a KDJ oversold signal (<20), indicating a potential short-term bounce.
Bollinger Bands
Volatility has expanded, with prices near the upper band ($114.82) on February 3, suggesting overbought conditions. The 20-period Bollinger Band width has widened to 10%, indicating heightened volatility. A retest of the lower band ($103.08) could confirm its support role, but sustained price action above the midline ($108.95) would reinforce the uptrend.

Volume-Price Relationship

Trading volume spiked on the recent rally, with February 6’s session volume (3.8 million shares) exceeding the 30-day average. This validates the strength of the upward move. However, if volume tapers during a rally toward $114.82, it may signal weakening conviction. Conversely, a surge in volume during a breakdown below $106.60 would confirm bearish momentum.

Relative Strength Index (RSI)

The 14-period RSI (90.00) is in overbought territory (>70), but the absence of bearish divergence (price highs vs. RSI highs) suggests the trend remains intact. A drop below 60 may indicate a consolidation phase, with potential for a retest of key support levels.

Fibonacci Retracement

Fibonacci levels derived from the August 2025 low ($29.88) to the February 2026 high ($122.99) highlight critical zones. The 61.8% retracement level ($80.00) has already been rejected twice, while the 38.2% level ($95.00) acts as a key psychological barrier. The current price near the 23.6% retracement ($110.00) aligns with the 50-day MA, creating a confluence of support. A break above $114.82 (78.6% retracement) would target $122.99.

Confluence between the 50-day MA, Fibonacci 23.6% retracement, and Bollinger midline at $108.95 suggests a high-probability consolidation zone. Divergence between RSI and price action is currently absent, but a breakdown below $106.60 with expanding volume could trigger a retest of the August 2025 low. Traders should monitor the 100-day MA ($108.00) as a critical support threshold, with bullish momentum likely to persist if the 200-day MA ($95.00) holds.