Dell Technologies Inc. (NYSE:DELL) shares are trading higher on Thursday. The stock broke resistance on Wednesday.

Breaking resistance can be a bullish dynamic. The shares may continue to move higher. This is why Dell is the Stock of the Day.

Many people think that stocks move because of earnings or some other news. This is true sometimes.

But many market moves are driven by the psychology and emotions of traders. Examples of this can be seen in Dell’s chart.

Remorse is an important part of this psychology.

As you can see on the chart, the $372 level was support for Dell in June. When it rallied afterward, many of the people who had sold came to regret it. They experienced sellers’ remorse.

A number of them decided to buy back their shares. But they also decided that they would only do so if they could repurchase them at the same price they were sold for.

As a result, when the shares dropped back to this price in July, they placed buy orders. This created support.

Seller’s remorse made there be support at a price that had previously been support.

The opposite emotion is buyer’s remorse. This can make resistance stay intact.

People who bought shares at the resistance around $467 regretted it when the price dropped after. Some of them decided that if they could eventually do so, they would sell their shares for the same price they paid for them.

This will allow them to exit their positions at breakeven.  When Dell reached $467 in early August, they placed sell orders. This created resistance at the level.

Buyer’s remorse created resistance at a level that had been resistance before.

But on Wednesday, Dell broke through this resistance. This can be a bullish dynamic. It shows that the sellers who created it are gone. They have finished or canceled.

This will force buyers to be aggressive and outbid each other to draw the sellers back. This means Dell could continue to move higher.

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