Twitter Buy Signals Emerge: See It Here
Twitter Inc (NYSE: TWTR) has fallen from a high near $75 to a recent low near $29.50. All this in 2014 when the markets have chopped sideways. The stock is currently trading at 31.71 -0.36 (-1.12%). Bullish signals are emerging and Twitter Inc just might be a great swing trade over the next few weeks. Let's look at the factors that make this a bullish play.
1. Twitter Inc (NYSE: TWTR) bottomed out around $29.50 in early May 2014. This came on huge volume. When a mega surge in volume hits at the lows of a chart, it usually signals capitulation (a bottom).
2. The lock-up period for Twitter Inc has expired and those that wanted to sell the stock in this range have done so. This frees the stock somewhat from internal selling pressure.
3. There is a slight bullish consolidation forming on the daily chart of Twitter Inc. This has a high probability of leading to a move higher in the stock price.
4. The stock is near term oversold on every technical signal. Twitter Inc (NYSE: TWTR) should see a bounce just on these factors alone.
Overall, Twitter Inc has the keys it needs to unlock some upside. The near term target would be $38.75 which is over a 20% move higher from these levels.
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.