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Rocket Lab shares rise after crossing above 50-day moving average
Yahoo Finance notes RKLB is up 2.2% to $71.45 and, historically, similar 50-day moving average crossovers have led to an average 16.8% gain a month later 88% of the time.
Shares of Rocket Lab Corp, ticker RKLB, rose 2.2% to $71.45, extending a rebound off support near the $60 level, according to Yahoo Finance.
The stock also crossed above its 50-day moving average, a trendline that previously rejected the shares in July and August. Yahoo Finance cited Schaeffer’s Senior Quantitative Analyst Rocky White, who said the crossover has occurred eight other times over the last 10 years.
In that backtest, Rocket Lab was higher one month later in 88% of those instances, with an average 16.8% gain. Based on that magnitude, Yahoo Finance estimated the shares could reach about $83.45 from current levels.
Yahoo Finance also pointed to options positioning, saying Rocket Lab’s Schaeffer’s Volatility Index (SVI) is 70%, which it characterized as within the low 10th percentile of its annual range, indicating low volatility expectations. The outlet added that Rocket Lab has tended to exceed those expectations over the past year, citing its Schaeffer’s Volatility Scorecard (SVS) at 97 out of 100.