Twitter, Inc. (NYSE:TWTR) Takes A Hit Following Suspension Of 70 Million Accounts
Twitter just had its worst day in more than three months on worries over rampant fake accounts.
To investors worried the sky is falling, one chart watcher says these kinds of moves are nothing to sweat.
This is obviously a substantial decline. … Obviously alarming but at the same time not that rare.
Twitter shares moved lower by as much as 12 percent as recently as late March when the tech industry was still in the grips of a sell-off over data privacy. Since going public in November 2013, Twitter shares have fallen by more than 8 percent 19 times.
Twitter had dropped by nearly 10 percent at its session lows on Monday on reports it had suspended as many as 70 million fake accounts in May and June. It pared those losses on assurances from its chief financial officer and ended the session close to 6 percent lower. Its drop takes it back to levels seen in mid-June, a period that marked a new 52-week high.
Monday’s pullback could be an opportunity to dive in.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
The projected upper bound is: 47.05.
The projected lower bound is: 41.04.
The projected closing price is: 44.04.
A black body occurred (because prices closed lower 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 33 white candles and 17 black candles for a net of 16 white candles.
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 55.9384. This is not an overbought or oversold reading. The last signal was a sell 14 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 53.76. 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 sell 10 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 -61. This is not a topping or bottoming area. The last signal was a sell 1 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 10 period(s) ago.
Rex Takasugi – TD Profile
TWITTER INC closed down -0.390 at 43.750. Volume was 10% above average (neutral) and Bollinger Bands were 52% narrower than normal.
Open High Low Close Volume___
44.200 45.260 43.630 43.750 6,604,440
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 44.55 38.46 28.49
Volatility: 56 46 63
Volume: 5,360,016 6,400,671 5,304,955
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 53.5% above its 200-period moving average and is in an upward trend. Volatility is 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 47 periods. our momentum oscillator has set a new 14-period low while the security price has not. This is a bearish divergence.