Capstone Turbine Corporation (NASDAQ:CPST) trimmed down a little on Wednesday after a flat close on Tuesday. The stock lost a significant amount on Wednesday with a single day loss of 2.69%. The stock rather followed a downward trend on Wednesday with no upward movement.
Capstone Turbine Corporation (NASDAQ:CPST) has been on a good upward bias in the last few trading sessions, with about 8% gains in the last week. The stock seems to have topped out and a may see a trend reversal in the next few trading sessions. The daily chart indicates the stock has been trading in avery narrow range with an upside of $2.35 on the upside and $1.97 on the downside. We believe the stock may continue to trade in a volatile manner within this range.
The momentum indicators for Capstone Turbine Corporation (NASDAQ:CPST) on the daily charts suggest a neutral stance, the indicator suggest the stock has a weak upward momentum but good support levels. The relative strength index too is turning downwards from the no trade zone, this implies there is a selling pressure on the stock, and the stock may see some downside in the next few trading sessions.
The stock seems to be forming a triangle pattern on the daily charts, this indicates the stock has no prominent trend at present, the stock may continue to trade in this narrow range, a breakout above $2.24 could see the stock rally upwards, on a breakout below $1.95 could see some downside for the stock.
From current levels the stock has a good first support around $1.91 levels and a strong resistance around $2.25.
(FIGURE): Daily Chart For Capstone Turbine Corporation (NASDAQ:CPST)
Capstone Turbine Corporation declared the company has good orders in their books, the company stated they received orders for two capstone C800s and one capstone C1000, which were ordered by a south Carolina hospital. These are flagship products of the company. The company is capping in on the hospital orders giving them an edge over their competitors.