Flex (FLEX) Rises 5.23% on 7-Day Streak, Gains 27.46% as Technical Indicators Signal Bullish Momentum

Flex (FLEX) has surged 5.23% in the most recent session, marking a 7-day winning streak with a cumulative gain of 27.46%. The price action reflects strong bullish momentum, with the stock trading near multi-month highs. Below is a technical analysis across key frameworks:
Candlestick Theory
The recent price action forms a series of higher highs and higher lows, indicating a robust uptrend. Key resistance levels emerge at $72.08 (recent close) and $68.5 (prior high), while critical support is identified at $62.41 (early December low).

A bullish engulfing pattern on 2025-12-08 and a harami on 2025-12-01 suggest short-term continuation of the rally. However, a potential bearish shooting star on 2025-12-09 may indicate caution if the price fails to break above $72.50.
Moving Average Theory
Short-term momentum is reinforced by the 50-day MA crossing above the 200-day MA, forming a golden cross in late November. The 100-day MA (~$58.50) and 200-day MA (~$56.50) act as dynamic support, with the current price (~$72.08) well above both. The 50-day MA (~$65.00) is approaching the 100-day MA, suggesting a narrowing of intermediate-term divergence. A pullback to the 50-day MA could trigger renewed buying interest.
MACD & KDJ Indicators
The MACD histogram remains positive and expanding, with the MACD line (12,26,9) above the signal line, confirming bullish momentum. The KDJ oscillator shows K (~85) and D (~80) in overbought territory, with K-D narrowing, signaling potential exhaustion. A bearish crossover in KDJ may precede a correction, though the MACD’s strength suggests the uptrend could persist.
Bollinger Bands
Volatility has expanded, with the price touching the upper band (~$72.08) and the bands themselves widening from a narrow contraction in mid-November. This squeeze breakout pattern increases the likelihood of continued upward movement, though a reversal below the middle band (~$65.50) would invalidate the bullish case.
Volume-Price Relationship
Trading volume has surged during the rally, with the most recent session’s volume (7.17 million shares) representing a 150% increase from the 20-day average. This volume surge validates the strength of the price action. However, a divergence between declining volume and rising prices could signal waning momentum in the near term.
Relative Strength Index (RSI)
The 14-day RSI is currently above 70 (~72), indicating overbought conditions. While this suggests a potential pullback, the RSI has remained above 60 for three consecutive weeks, consistent with a sustained trend. A drop below 60 would increase the probability of a correction, but a sustained RSI above 60 may justify holding long positions.
Fibonacci Retracement
Key Fibonacci levels from the November low ($48.49) to the December high ($72.08) include 38.2% ($60.50), 50% ($58.75), and 61.8% ($57.60). A pullback to the 50% level (~$58.75) may attract buyers, but a break below the 61.8% level would increase bearish probabilities.

Confluence and Divergences
The most compelling confluence occurs at the 50-day MA (~$65.00), where the price could find support while the MACD and RSI remain bullish. Divergences emerge between the overbought KDJ and the still-ascending MACD, suggesting a potential short-term correction. A sustained close below $67.50 (the 100-day MA) would create a divergence between volume and price, increasing the risk of a trend reversal.
Probabilistic Outlook
The current setup favors continuation of the uptrend with a 65–70% probability of testing $75.00, contingent on maintaining volume and MACD strength. A pullback to $65.00 is likely (~70% probability), but a breakdown below $62.50 would increase the likelihood of a deeper correction (~30%). Traders should monitor the 200-day MA (~$56.50) as a critical trend filter.