The pressure on First Solar is coming from more than one direction.

First Solar shares plunged Thursday as rising borrowing costs put additional pressure on the solar industry. Higher interest rates make large utility-scale solar projects more expensive to finance, potentially delaying projects and weighing on near-term demand for solar modules. First Solar is also dealing with uncertainty surrounding its decision to withdraw its Section 337 patent complaint at the U.S. International Trade Commission and instead pursue its TOPCon patent cases in federal court. The combination of financing concerns, the change in its patent-enforcement strategy, and recent analyst price-target reductions added to negative sentiment and pushed FSLR to a fresh 52-week low.

FSLR remains firmly bearish, with the share price near $172 and trading well below its 8-, 21-, and 55-day EMAs. The PPO remains below zero and below its signal line, while −DI at 37.08 is substantially above +DI at 12.36, indicating strong selling pressure. RSI has fallen to 30.72, reflecting significant bearish momentum while remaining above the 25 level. ADX is currently 18.51, slightly below the 20 level generally associated with a stronger established trend. However, Thursday’s decisive breakdown to new lows, bearish directional indicators, and negative fundamental catalyst support watching FSLR puts for the possibility of additional downside.

Wishing you the very best, 

Wendy