Is Enphase Energy Ready to Breakout?
June 24, 2021 3 min read  This story originally appeared on StockNews    A resistance line has formed in the chart of Enphase Energy Inc. (ENPH). If the stock breaks through this level a breakout could soon occur. Read more to learn to profit from this trading opportunity. Enphase Energy Inc. (ENPH) delivers energy management technology for the solar industry. The company designs, develops, manufactures and sells home energy solutions that connect solar generation, energy storage, and management on one intelligent platform. The company revolutionized the solar industry by creating a semiconductor-based microinverter that converts energy at the individual solar module level. This has led to a strong position for the company in the booming solar microinverter market. Though insufficient tax equity financing could become a problem. ENPH had $1.5 billion in cash as of the latest quarter compared with only $84 million in short-term debt. The company also has a healthy gross margin of 44.6%. Over the past three years, ENPH has grown sales an average of 42.4% per year. Analysts expected sales to soar 147.7% year over year in the current quarter. The stock appears very overpriced with a forward P/E of 94.34 and EV/EBITDA of 210.29. ENPH stock saw bullish momentum from July to early 2021, but the stock then trended downward into early May. It has since reversed course and is showing positive momentum as seen in the chart below. Click Here to Read the Greatest Trading Book Ever Written  Take a look at the 1-year chart of ENPH below with the added notations:  Chart of ENPH provided by TradingView  ENPH has formed an important level to watch at the $175 (red) mark, as that level has provided both support and resistance over the past 6 months. The stock looks like its on its way back up to the level once again, and a breakthrough could open the door to much higher prices. A trader could enter a long position on a break above the $175 level with a protective stop placed below it. I have explored virtually every flavor of technical analysis and chart pattern known to mankind. The sad fact is that the vast majority of them dont work at all. That is why I recently put together this special report to help investors focus on the only 5 chart patterns that matterthe ones that lead to the most timely and profitable stock trades. Click below to get your copy now! 5 WINNING Stock Chart Patterns  Have a good trading day! Good luck! Christian Tharp, CMT  @cmtstockcoach  ENPH shares were trading at $170.98 per share on Thursday morning, up $0.74 (+0.43%). Year-to-date, ENPH has declined -2.56%, versus a 14.49% rise in the benchmark S&P 500 index during the same period. About the Author: Christian Tharp  I am an expert stock market coach having helped over 4000 beginner and advanced traders & investors from around the world take control of their financial futures. I also write stock market related articles for the Adam Mesh Trading Group and Yolo Publishing. More... The postappeared first on