Enphase Energy, Inc. (ENPH) Price Forecast: First Bullish Tests Breakout Support

Trend Reversal Confirmed on Heavy Volume

Shares of Enphase Energy, Inc. (ENPH) recently triggered a reversal of an intermediate downtrend following a decisive weekly breakout above a lower swing high and the 50-week moving average.

The breakout week was confirmed by record volume –the highest level of trading activity since June 2020. This combination of price and volume reflects strong conviction behind the move and adds credibility to the broader trend reversal attempt. There has only been one leg up from the $25.78 bottom and a second leg up at a minimum looks likely, given the long-term nature of the reversal. Enphase Energy is in the solar alternative energy space.

The bottom reversal originated from a trend low at $25.78, where price found support at a lower channel trendline in November 2025. This marked the second successful test of that support zone, each followed by a bullish reversal. The recent advance began with a breakout above an internal downtrend line and a simultaneous reclaim of the 20-week moving average. Price then recovered above the lower swing high at $41.28, further reinforcing the reversal structure.

Earnings Catalyst Drives Sharp Reversal

The sharp bullish reversal accelerated following Enphase’s better-than-expected Q4 2025 earnings report February 3, accompanied by increased guidance for Q1 2026. That catalyst produced a gap-up trend reversal signal day, with a price reaching a high of $52.93 and closing strong, in the upper third of the session’s range. The breakout carried ENPH to a nine-month high before momentum stalled.

First Pullback Tests Prior Resistance as Support

Since the breakout, five days of consolidation near the highs gave way to a sharp pullback last Thursday, followed by a continued selling pressure into Friday. Bearish momentum slowed on Friday, producing a narrow-range session near the prior day’s low. The corrective low was set at $43.00 on Friday. This pullback represents the first meaningful retracement following multiple significant bullish trend reversal signals.

The current decline is now testing prior resistance as potential support, with price nearing a specific test of January’s high at $42.63. This level aligns closely with the current support zone that extends from the $42.63 prior trend high down to the 20-day moving average at $41.97. Each of the prior few pullbacks in ENPH have found support near the 20-day average and subsequently rallied.

Key Support Zones Define Risk

Below that zone, the 50-week moving average at $40.43 and the daily 200-period moving average at $37.28, mark additional support levels. A failure of the 20-day average could expose those lower averages and potentially an eventual dip toward the rising trendline.

Astute traders and investors will be watching this bullish pullback for signs of support and renewed strength, as a sign that a new leg may follow.