Twitter, Inc. (NYSE:TWTR) after earnings, the stock plunged lower by more than 10 percent
Twitter (NASDAQ:TWTR) recently reported earnings that disappointed Wall Street. The stock peaked out on February 6, 2019 at $35.21 a share. After earnings, the stock plunged lower by more than 10 percent and is currently trading around the $30.20 level. There are some short-term support levels for TWTR in the near term, but the next major level is much lower.
Twitter stock is currently trading below its important 50- and 200-day moving averages, which put the equity in a weak technical position, near term. Investors should now look at the $25 level for major support, which is where TWTR broke out in February 2018 on massive volume. Often, when a past breakout level is tested for the first time, it will be defended by the institutional money. Keep this trade level on the radar.
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
The projected upper bound is: 33.82.
The projected lower bound is: 26.54.
The projected closing price is: 30.18.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white candles.
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 11.4061. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 2 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 41.87. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 31 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -126.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 2 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 2 period(s) ago.
Rex Takasugi – TD Profile
TWITTER INC closed up 0.220 at 30.230. Volume was 13% above average (neutral) and Bollinger Bands were 27% narrower than normal.
Open High Low Close Volume___
30.110 30.430 29.660 30.230 5,133,704
Short Term: Oversold
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 32.42 31.96 34.08
Volatility: 75 74 68
Volume: 4,551,091 4,387,604 5,011,496
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
TWITTER INC is currently 11.3% below its 200-period moving average and is in an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect volume flowing into and out of TWTR.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on TWTR.N and have had this outlook for the last 21 periods.
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