Western Digital Corp. (NASDAQ:WDC) stock rose more than 3% in Thursday’s premarket session as risk appetite improved across equities.
Traders leaned into higher-beta technology stocks. 27%.
Western Digital’s early gains came amid a broader market rally. Futures pointed to a stronger open as investors moved toward growth and momentum stocks.
Sector sentiment also provided a boost. According to Benzinga Pro, memory and storage stocks traded higher following reports that SK hynix Inc.
(NASDAQ:SKHY) is in talks with Intel Corp. S.
for the first time. The reported discussions added to optimism around memory and storage demand, providing another tailwind for Western Digital alongside the stronger market backdrop.
Technical Analysis Western Digital remains in a mixed technical position. 5% below its 100-day SMA.
7% above its 200-day SMA. That setup suggests the longer-term uptrend remains intact despite recent weakness.
The 20-day SMA remains below the 50-day SMA, keeping the near-term trend cautious. However, the 50-day SMA remains above the 200-day SMA, supporting the longer-term bullish trend.
Momentum has also weakened. The MACD is below its signal line, while the histogram remains negative.
That suggests buying momentum has faded following the previous rally. Western Digital faces resistance near $480, close to its 50-day moving-average zone.
Support sits around $422, a recent area where buyers stepped in. 79.
Citigroup maintained a Buy rating while lowering its price forecast to $740 on Aug. 7.
TD Cowen maintained a Buy rating and raised its forecast to $540 on Aug. 6.
UBS maintained a Neutral rating and lowered its forecast to $525 on Aug. 6.
5. Benzinga Edge Rankings Western Digital also scores strongly on several Benzinga Edge metrics.
74. 59.
The scores point to a stock driven primarily by growth, momentum and business quality rather than valuation. 29% weighting.
Because Western Digital carries meaningful weight in these funds, ETF inflows and outflows can contribute to trading activity in the shares. 30 in Thursday’s premarket trading, according to Benzinga Pro data.
