Stellantis Jumps 3.16% Amid Technical Rebound As Bulls Defend Key 10.00 Level

Stellantis (STLA) rose 3.16% to close at 10.11 in the latest trading session, recovering from the previous day's 4.95% decline. This analysis examines key technical signals derived from the one-year price history.
Candlestick Theory
Recent price action shows significant volatility, with the 2025-07-08 session forming a bullish engulfing pattern after the 2025-07-07 bearish candle. Key support emerges at the 2025-06-24 low (9.47), while resistance is established at the 2025-07-03 peak (10.455). The rapid recovery from the 2025-07-07 low (9.72) suggests strong buying interest near the psychological 10.00 level.
Moving Average Theory
The 50-day moving average (MA) currently hovers near 9.90, with Stellantis trading above this level. Crucially, the 100-day MA (approximately 10.75) and 200-day MA (roughly 13.00) remain above current prices, indicating persistent long-term downward pressure. A bullish crossover between the 50-day and 100-day MA would require sustained movement above 10.50, which hasn't occurred since April 2025. The current price position below all major long-term averages confirms the primary bearish trend.
MACD & KDJ Indicators
The MACD histogram shows tentative signs of bullish convergence as selling momentum wanes near recent lows. Meanwhile, the KDJ oscillator exited oversold territory (below 20) on 2025-07-08 following two consecutive days of stochastic improvement. While these signals may precede short-term upside, they occur within an established downtrend – warranting confirmation through sustained price action above the 100-day MA.
Bollinger Bands
Bollinger Band width contracted significantly during June-July 2025, indicating declining volatility before the sharp 2025-07-07 breakdown. Prices recently penetrated the lower band (9.75) on above-average volume, triggering a technical rebound. The recovery back within the bands suggests potential mean reversion toward the 20-day midpoint near 10.25. Continued band contraction may precede a decisive volatility expansion.
Volume-Price Relationship
The 2025-07-08 rally occurred on 23% higher volume than the preceding down day (38.37M vs 31.16M shares), supporting bullish conviction. However, significant resistance tests in April and June consistently failed despite volume surges (e.g., 51.19M shares on 2025-04-09), suggesting distribution at higher levels. Current volume trends lack the intensity seen during major trend reversals like the April 2025 breakdown.
Relative Strength Index (RSI)
The 14-day RSI rebounded from near-oversold territory (38) on 2025-07-08 but remains below the neutral 50 level. Since January 2025, RSI peaks have consistently declined (forming lower highs), validating the bearish momentum structure. Notably, oversold readings below 30 during the June-July 2025 consolidation failed to trigger meaningful recoveries, emphasizing the indicator's limitations in strong downtrends.
Fibonacci Retracement
Applying Fibonacci retracement to the April-July 2025 decline (swing high 10.455 to low 9.72) shows immediate resistance at the 38.2% level (10.20). The 2025-07-08 high (10.19) tested this threshold before retreating. Significant overhead resistance clusters between the 50% (10.35) and 61.8% (10.50) retracement levels, aligning with the 100-day MA and volume-based resistance zones. The convergence of these barriers creates a formidable technical ceiling.
Confluence & Divergence
Multiple indicators align at 10.20–10.50 resistance (Fibonacci, moving averages, and historical volume profiles). Bullish divergences appear in short-term momentum oscillators (MACD, KDJ), though they contradict the RSI's lower highs and dominant trend structure. The 2025-07-08 volume-backed surge warrants monitoring for potential trend reversal, but requires confirmation through consecutive closes above 10.50 to invalidate the broader bearish technical framework.