Send me real-time posts from this site at my email
Fan Yang

Twitter (TWTR) Approaching Previous Range Resistance - Will it Provide Support?

Twitter $TWTR hsa been falling since it almost reached $48 a share. Note that 2018 was a very strong year up to June/July when price peaked. It has shed about 44% of its high as price falls to $26.80 during the 10/10 session. 

TWTR Daily Chart

(click to enlarge)

Back to the Range Resistance:
- As we can see on the daily chart, TWTR has been consolidating since 2016 under $25.20. This turned out to be a period of accumulation as price broke out of this range to the upside in 2018. 
- But now, we see price pulling back to this previous resistance. 
- With the daily RSI near oversold area, I think the market will indeed buy here around $26. 
- If price falls below $25, we might see it go to $20 before major support. 
- The upside will be limited as well. The cluster of moving averages between $32 and $36 can serve as a cap to the bullish outlook. 
- This is based on the anticipation of regression to the mean share price but not back towards the exuberant highs on the year. 

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue