CoreWeave (CRWV)

We received a question on CoreWeave (CRWV).

CRWV: Base-building but stalled late last week on a bearish engulfing pattern

The technicals for CRWV show a base-building process from late July. However, a bearish engulfing pattern last Thursday and Friday (10/9 and 10/10) suggests that more time may be needed prior to a definitive breakout from this pattern. The rising 13-day moving average (DMA) near 133.81 is an initial support, but we think that any decline that holds within the 128 to 110 range (a retracement zone reinforced by rising 26- and 40-DMAs) could round out the right side of this base.

Whether or not this stock pulls back to provide a better entry point, a decisive breakout above the 148.75 to 153.20 area would confirm the base for upside back to the June peak at 187 and potentially onward toward the base pattern count at 212.

Chart 1: CoreWeave (CRWV)