D-Wave Quantum Inc. (QBTS) Technical Analysis

Price Action Analysis

Overview

• QBTS has traded in a broad, choppy range on the daily chart over the last few weeks, following a broader down-move earlier in December. The stock is currently holding in the upper end of that range and showing signs of a near-term rebound.
• On the weekly chart, the longer-term context still reflects a gradual uptrend over the past several quarters, but price remains near a notable resistance area from recent swing highs.

Step-by-step observations

Daily chart (price action)

• Trend: Near-term trend has shifted from a pullback phase to a cautious, uptick bias. Price is trading above the key intermediate moving average (50-day) for the moment, suggesting a potential shift in near-term momentum.
• Price structure: After slipping toward the mid-to-upper 20s in late November, price recovered into the low-30s briefly, then pulled back into the high 20s–low 30s. Recent candles show attempts to push higher, with intraday tops approaching the 31–32 zone and the latest closes hovering around the high 28s to low 30s.
• Support/resistance:
  • Immediate support sits around the high-28s to low-29s zone, roughly aligned with the near-term moving average vicinity.
  • Immediate resistance is near the 31.5–32.0 area, which has seen price tests on recent rallies.
• Candlestick context: Mix of bullish and bearish candles within a consolidation band. The most recent price action has seen buying to the vicinity of resistance, suggesting a test of that level is possible in the near term.
• Volume behavior: Volume tends to rise on pullbacks into the support zone and again on rallies toward the resistance, indicating active participant interest around these levels. There were notable volume spikes on upside days in late December, which supports a cautious bullish bias if price can clear the near-term barrier.

Weekly chart (price action)

• Trend: A longer-term uptrend has been in place over the past several quarters, with higher highs and higher lows, though the current action represents a consolidation phase within that larger trend.
• Price structure: The weekly picture shows price hovering around a mid-to-upper portion of its two-year range, with the next meaningful upside hurdle appearing near the previous swing highs in the low-to-mid 30s.
• Volume context: Weekly volume patterns generally show steadier participation during upswings, with lighter participation in consolidation stretches, which is typical of a pause before a new leg.

Implications

• The chart setup favors a continuation scenario if price can sustain a breakout above the ~32 resistance with convincing volume. Conversely, a break below the ~28.5–29.0 zone could re-open downside risk toward the next support cluster around mid- to high-20s.

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Technical Indicators

Key readings from the technical indicators (latest data available)

Indicator	Value	Interpretation
Price (QBTS)	$29.12	Trading near the 50-day MA; near-term strength observed
50-day Moving Average	$28.60	Price sits above the MA, suggesting near-term support around this level
RSI (14)	57.0	Neutral to mildly bullish; room to move higher before overbought
MACD (12,26,9)	MACD 0.40; Signal -0.20; Histogram 0.60	Positive momentum building; bullish tilt likely to continue if held
Momentum note	-	The combination of price staying above the moving average and a rising MACD histogram supports a constructive near-term bias

Observations

• The price is currently sitting just above the 50-day MA, which acts as a proximal support and a potential springboard for a further move higher.
• RSI at 57 indicates there is room to run before reaching typical overbought conditions (>70). This supports the possibility of further upside if buyers sustain activity.
• MACD has moved from negative territory toward positive, with the histogram in positive territory, signaling growing upside momentum.

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Volume & Momentum Analysis

• Volume on up days has tended to pick up as price attempted moves toward the immediate resistance around 31–32, suggesting demand participation at higher levels.
• During pullbacks into the 28.5–29.5 zone, volume often picks up on downside days as well, indicating active trading interest and the potential for a quick reaction when price tests support.
• The current momentum indicators (MACD turning positive, RSI in the mid-50s) align with a mild bullish tilt, consistent with a continuation scenario if price can clear and sustain above the near-term resistance.

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Key Buy/Sell Levels

Note: Current price is around $29.12. For each zone, I indicate whether it has been touched and, if not, the distance from the current price.

Trendline references (horizontal lines drawn on the chart)

• Support Level A: around $28.60 (near-term floor and closest tested support)
• Resistance Level B: around $31.80 (proximate resistance; round-numbered area near the recent high)

Buy zones (near-term practical levels)

1. Buy Zone A: $28.50–$28.80

• Has this been touched? Yes. The price recently traded through this area and briefly hovered near the upper end.
• Distance from current price: Price is $29.12, so the zone sits about $0.32 below the current price at the upper end (and about $0.62 below the lower end at the bottom of the range).
• Rationale: Proximity to the 50-day MA, proximity to recent swing support, and a volume backdrop supportive of a bounce. A bounce from this zone could confirm near-term bullish continuation toward the next resistance.

2. Buy Zone B: $27.50–$28.00

• Has this been touched? Not recently; price did not close that low in the latest action, but the zone sits within the well-defined support shelf below the current price.
• Distance from current price: Approximately $1.62–$1.62 below the current price (27.50) to about $1.12 below (28.00).
• Rationale: If price breaks below the immediate support and re-tests this broader zone, it could offer a larger-risk entry with potential for a reversal back toward the immediate resistance.

Key levels related to resistance (for context)

• Resistance Level C: $31.50–$32.00
  • Has this been touched? Yes, intraday highs have approached the upper end around $31.8, indicating a testing zone.
  • If price breaks above this region with volume, the next immediate targets would be higher in the low-to-mid 30s.
• Short-term chopped zone around $29.50–$30.50
  • This is a proximal arena where price often pauses or consolidates after tests near the 32 region.

Trendline notes

• The drawn support line at approximately $28.60 provides a visible floor that the price has tested in the recent phase.
• The drawn resistance line at approximately $31.80 marks a clear ceiling in the near term; a sustained close above this level with volume would imply a potential move toward the next resistance cluster.

How these levels fit with other technical references

• Support around $28.60 aligns with the near-term moving-average layer, reinforcing its validity as a bounce zone.
• The resistance around $31.8 sits near prior swing highs, acting as a meaningful hurdle that, once cleared, could unlock a larger upside move toward the mid-30s.
• Volume spikes around the test of these levels corroborate the relevance of these zones as decision points for traders.

Notes on current price proximity

• Current price: $29.12
• Zone A has been tested (close to current price but a pullback into A could still present a lower-risk entry if price reverts higher).
• Zone B is a deeper retracement target if the near-term support fails; distance to Zone B is roughly 1.1–1.6 points lower from current price, representing a larger pullback.

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Technical Outlook & Summary

• Price action context: The daily chart shows a near-term rebound attempt after a prior pullback, with the price testing the immediate resistance around the $32 zone. The weekly chart supports a longer-term uptrend context, but with a consolidation beneath the major swing highs.
• Volume patterns: Increased volume on upside attempts near the resistance area suggests buyers are willing to participate on strength, while displacement into the support area shows selling pressure but with potential for quick reversals if buyers regain control.
• Technical signals:
  • Price remains above the 50-day MA, signaling near-term bullish bias.
  • RSI sits in the mid-50s, indicating room to run before overbought conditions materialize.
  • MACD has turned positive with a rising histogram, signaling momentum that could sustain if price holds above the current zone and breaks above the nearby resistance.
• Key levels to watch:
  • Immediate support: around $28.60
  • Immediate resistance: around $31.80 (with a nearby psychological hurdle near $32)
  • Near-term buy zones: Zone A around $28.50–$28.80 (tested), Zone B around $27.50–$28.00 (untested and a larger retracement target)

Strategic takeaways

• The near-term bias remains cautiously bullish so long as price can sustain above the $28.60 area and eventually clear the $31.80–$32.00 resistance with confirming volume.
• If price fails to hold above $28.60, a deeper retest toward the mid-to-upper $20s could unfold, with Zone B acting as a reasonable entry if a strong reversal pattern emerges on improved volume.
• A confirmed breakout above $32 with sustained volume would likely open the path to the next upside targets in the low to mid-30s, aligning with the longer-term uptrend context on the weekly chart.

Trendline notes for charting

• Support line at approximately $28.60 remains a critical anchor; price dipping below could shift the balance toward a more neutral or bearish setup.
• Resistance line at approximately $31.80 marks a key hurdle; a clean daily close above this level would strengthen a bullish continuation thesis.

If you’d like, I can also provide a conditional trade plan (entry, stop, and target levels) based on whether price closes above or below the key lines in the next session.