SIGI – Potential Reversal and Bullish Momentum AheadSelective Insurance Group (SIGI) is showing early signs of a potential bullish reversal after a sharp sell-off. This week, the stock has rebounded strongly from recent lows, closing above the $81 mark with increased trading volume, indicating renewed buying interest.
From a technical perspective:
• The strong bounce from support near $80 suggests that selling pressure is easing.
• Bullish volume has emerged following the recent earnings dip, showing accumulation by buyers.
• Momentum indicators (MACD & RSI) are starting to stabilize, which often precedes a short-term price recovery.
• Price is attempting to reclaim the mid-range of the Bollinger Bands, signaling potential for a push toward upper resistance levels.
Trade Idea:
• Entry: Around current levels ($81)
• Target 1: $86.90
• Target 2: $88.80
• Stop Loss: $80.70
If bullish momentum continues, we could see SIGI retesting the resistance zone around $87–$89 in the coming sessions.
