$STX · Verified Investing · 2026-10-26

Lastly, guys, got another big stock reporting earnings tomorrow after the bell. Now this is STX. Seagate technology involved with the AI data centers. Uh no doubt about it. So we see here STX was on a joyous ride up on the charts all up until June of this year and then since has started to unwind all of it.

Look at that nice bare flag consolidation and then now recently price action has broken the bottom portion of this inclining parallel channel. Now let's just do some exercising here.

I've already given you a cliff notes right there where one of the fib levels is. We can see that's the 786 fib level. But right now, price is really doing its best to try to hang on to this 618. That's why this one's a little bit of a 50/50.

We've already fallen so much on STX. Any bit of good news will likely send the stock right back up. And we know what happens when price breaks longterm support or resistance trend lines.

Well, the price likes to go back up and test where it had broken down from. One thing that can prevent it from doing that is just how much it's fallen. And then the second thing is this declining trend line that basically a breakout trend line of resistance.

So I'm anticipating and favoring a bounce on STX sometime in the near future. Potentially the catalyst could be tomorrow after hours with earnings. We'll check that out tomorrow.

I know we'll go over it tomorrow during the show. It's certainly going to be interesting and something that I want to follow because the AI data center play is really the narrative of 2026.