AAOI Weekly Technical Analysis
Applied Optoelectronics, Inc
Applied Optoelectronics, Inc. (AAOI) designs and manufactures advanced fiber-optic networking products, specifically high-speed optical transceivers and laser components that convert electrical signals into light to move massive volumes of data inside internet data centers, cloud networks, and cable television systems.
AAOI Technical Analysis Summary
AAOI is in the midst of a sharp mean-reversion correction following an aggressive parabolic run to highs above 240. The breakdown and failed retest of the 20-week moving average confirm short-term bearish control, keeping the immediate trajectory tilted toward the rising 50-week SMA near 88.85. For long-term investors, the macro structure remains net bullish as long as price holds above the primary 50-week and 200-week moving average supports.
Included In Lists
Related Tickers of Interest
AAOI Weekly Chart
Sentiment
Short-term Sentiment (days to weeks): Bearish
Price is trading well below the 20-week SMA (141.44) after a failed retest near 155, with RSI falling below the neutral 50 level to 46.69 amid continuing selling pressure.
Long-term Sentiment (weeks to months): Bullish
The broader weekly macro trend remains intact with the 50-week SMA (88.85) trending steeply above the 200-week SMA (32.76), maintaining a classic long-term bullish moving average alignment.
Report Metadata
- Timeframe: weekly
- Generated at: 2026-09-04T21:04:44.447Z
- Model: gemini-3.8-flash
Support Price Levels
| Level | Range | Strength | Notes |
|---|---|---|---|
| $84.92 | $80.99 - $88.85 | Strong | Key confluence zone formed by the rising 50-week SMA (88.85) and the lower Bollinger Band (80.99). |
| $51.50 | $48.00 - $55.00 | Weak | Prior horizontal resistance-turned-support from late 2025 consolidation before the primary parabolic expansion. |
Resistance Price Levels
| Level | Range | Strength | Notes |
|---|---|---|---|
| $147.50 | $140.00 - $155.00 | Strong | Former dynamic support turned major overhead resistance, aligning with the 20-week SMA at 141.44 and the recent bounce rejection wick. |
| $196.00 | $190.00 - $202.00 | Strong | Major distribution zone near the upper Bollinger Band and peak consolidation range. |
Potential Chart Patterns in Formation
| Strength | Pattern | Signal | Target | Details |
|---|---|---|---|---|
| Strong | Blow-Off Top and Mean Reversion | Bearish | $88.85 | A parabolic surge toward the 240+ zone followed by heavy distribution and a breakdown below the 20-week SMA, confirming an aggressive mean-reversion phase toward intermediate moving averages. |
Frequently Asked Questions about AAOI
What is the current sentiment for AAOI?
The short-term sentiment for AAOI is currently Bearish because Price is trading well below the 20-week SMA (141.44) after a failed retest near 155, with RSI falling below the neutral 50 level to 46.69 amid continuing selling pressure.. The long-term trend is classified as Bullish.
What are the key support levels for AAOI?
StockDips.AI has identified key support levels for AAOI at $84.92 and $51.50. These levels may represent potential accumulation zones where buying interest could emerge.
Is AAOI in a significant dip or a Value Dip right now?
AAOI has a Value Score of 87/100. It is currently flagged as a significant dip in the Top Dips list. It is also listed as a Value Dip because long-term sentiment is bullish.
View the full interactive analysis on StockDips.AI.