AMC Stock Price: AMC Entertainment reverses course and jumps higher during market rally

NYSE:AMC investors can finally rejoice as the popular Reddit meme stock put a halt to its recent six-day losing streak. Shares of AMC surged by 5.99% on Thursday, and closed the bullish session at $30.28. It was yet another volatile day for global markets as rising cases of the Omicron variant have been sending investors on a tumultuous ride this week. The blue-chip Dow Jones managed to bounce back, adding 617 basis points after falling more than 900 on Friday of last week. The NASDAQ gained 0.83% while the benchmark S&P 500 jumped by 1.42% in a nice reversal from the previous couple of days. 

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While it was a nice day for AMC investors, there is still a larger problem looming over the theater franchise. Ticket sales are way down compared to pre-pandemic levels, with the recent Thanksgiving holiday weekend seeing half the sales of previous years. On top of that, the emergence of the Omicron variant could be a reminder to moviegoers that we are still not clear of COVID-19, particularly as the strain was found in three more states on Thursday including New York. AMC is counting on the upcoming release of Spiderman: No Way Home to bolster its holiday season, and has even worked with Sony to add incentives to fans including an exclusive Spiderman NFT giveaway. 

AMC stock forecast

Earlier this week, AMC’s stock officially hit oversold territory when its RSI or Relative Strength Index dipped down below 25 during Wednesday’s session. The stock found support at long last at around the $28.00 level, and AMC Apes will be hoping that it is ready to bounce higher in the short-term. One of the levels AMC will need to recapture is the 50-day moving average price which currently sits at just above $38.00 per share.