December 3 Chart of the Day - Pure Storage
Highly precise price action technical analysis offers the strongest trading edges and the most opportunities across the markets, making it the foundation of our reviews.
Pure Storage (PSTG) provides enterprise data storage solutions built around flash technology, delivering high-performance, cloud-integrated systems to organizations worldwide.
After surging to new highs last month, the stock fell sharply on earnings as traders reacted to guidance and near-term demand concerns. Price is now pulling back into major Fibonacci zones that will determine whether the broader uptrend resumes or pauses for deeper consolidation.
We'll review the chart from a price action perspective to identify potential levels of interest in both directions.
The charts highlight key levels where investors and traders alike will be watching closely.
Consistent profitable investing and/or trading requires a structured, rules-based approach to price action analysis. Proven processes, disciplined risk-reward management, and precise execution create the foundation for long-term success.
When combined with powerful mental performance strategies, this method becomes the ultimate blueprint for thriving in any market, on any time frame.
As requested, this analysis will take a price action technical analysis approach to assess key levels and potential next price moves for this chart.
Since May 2023, we've showcased over 650+ Charts of the Day and provide a Free Quick Start Guide to traders with ambitious income goals for our patent-pending NeuroTrading Method™.
Monthly Chart
The monthly chart shows a powerful multiyear uptrend that accelerated from the 2020 lows and recently pushed into new all-time highs at $100.59. The immediate reversal that followed has pulled price back into a key retracement cluster.
Early support sits near the upper $60s. A potentially more significant zone begins at the 61.8% retracement near $59.75, which aligns with prior consolidation and a major pivot from 2024. Below that, deeper support sits in the $45.15 to $35.09 region.
If buyers can reclaim the upper $80s, the path toward retesting $100.59 and the long-term Fibonacci extension near $116.10 would reopen. Until then the monthly chart reflects a strong trend temporarily under pressure.
With plenty of volatility traders have had much to be happy with and long term buy and hold investors have been greatly rewarded.
This kind of movement highlights why a cautious and well-informed approach is essential when evaluating a stock’s short to mid term outlook.
Weekly Chart
On the weekly chart the recent earnings reversal becomes even more pronounced. Price rejected sharply after setting fresh highs and fell through several intermediate levels in a single move.
The first meaningful support zone sits at the 50% retracement near $67.55. That area marks the key battleground for whether this pullback remains a standard retrace or evolves into a full trend breakdown. Below that, $59.75, $54.26 and $45.15 mark successive layers of support.
Upside resistance begin near the low to mid $80s. Reclaiming that area could signal stabilizing momentum and allow buyers to target a move back toward $95.22 and then the $100.59 high.
Right now all the necessary price action is happening at the mid $60s support cluster.
It goes without saying though, the only guarantee in the markets is that price cycles. It cycles up and it cycles down across all time frames and all charts and rarely, if ever, moves in a straight line.
Only time will tell for sure what price will do next...
We’ve combined Fibonacci levels with key support/resistance zones and trend analysis to pinpoint potential price levels of interest and future targets.
With precision-focused charts like these, both traders and investors can confidently build and execute their strategies.
So what's next?
We don't make predictions...
Nobody knows for sure but using these 5 price action tools traders and investors can develop levels of interest in both directions.
- Support/Resistance
- Trend
- Fibonacci
- Supply/Demand Zones
- Change Control Zones
ChartPros provides the exact methodology in its price action technical analysis courses to create charts like this with the most precise and accurate levels from which investors and traders can formulate their respective trade plans.
Take a look at the charts and let us know what you think. We'd like to hear from you in the comments sections.
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