AT&T (T) climbed 3.5% Wednesday after reporting stronger-than-expected quarterly results, highlighted by solid wireless subscriber growth, continued expansion of its fiber broadband business, and robust free cash flow. Management also announced a new $10 billion share repurchase program, reinforcing confidence in the company’s long-term cash generation and commitment to returning capital to shareholders. The positive earnings report sparked renewed buying interest, helping the stock recover from recent weakness and attracting institutional investors, as reflected by the significant increase in trading volume.

The technical picture improved considerably following the earnings release. AT&T surged above its 20-day exponential moving average and reclaimed the daily Pivot Point at $21.77, signaling a shift in short-term momentum after several weeks of consolidation. The stock closed just below the 50-day simple moving average near $22.72, which now represents the next important resistance level. A decisive breakout above that area could target the R1 Pivot near $23.23. Volume by Price also supports the bullish case, showing relatively light overhead supply between the current price and the low-$23 range, suggesting fewer shareholders are waiting to sell into strength. Meanwhile, the RSI has climbed to nearly 62, confirming improving momentum while remaining below overbought territory, leaving room for additional upside if buyers continue to build on the positive earnings reaction.

Wishing you the best, 

Wendy

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