What's Going On With Snap Stock?

Zinger Key Points
  • Snap announces new features to help safeguard its users from scammers. 
  • Snap shares are trading above the stock's 50-day moving average of $14.74 and 15.82% of available shares are being sold short. 

Snap, inc. SNAP shares traded higher Tuesday. The company announced new features to help safeguard its users from scammers. 

The Details

Snap announced a new set of tools that includes expanded in-app warnings, enhanced friending protections, simplified location-sharing and blocking improvements. The company said the new features are designed to make it difficult for strangers to contact people on Snapchat.

Snap also introduced expanded in-app warnings which will notify teens if they receive a chat from someone who has been blocked or reported by others, or is from a region where the teen's network isn’t typically located.

The company announced the roll-out of new augmented reality experiences and an upgrade to its developer program Lens Studio last week. 

According to data from Benzinga Pro, Snap shares are trading above the stock’s 50-day moving average of $14.74 and 15.82% of available shares are being sold short. 

Related News: Rivian Cuts Costs By 35%: What’s Going On With Rivian’s Stock?

SNAP Stock Forecast

Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory.

Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future.

Looking at Snap, an investor could assess a stock's long-term prospects using a moving average and trend line. If a stock is thought to remain above the moving average, which many believe is a bullish signal, a trend can be extrapolated into the future using a trend line.

For Snap, the 200-day moving average sits at $12.94, according to Benzinga Pro, which is below the current price of $16.59. For more on charts and trend lines, see a description here.

Traders believe that when a stock is above its moving average, it is a generally bullish signal, and when it crosses below, it is a more negative signal. Investors could use trend lines to make an educated guess about where a stock could trade at a later date if conditions remain stable.

SNAP Price Action: According to Benzinga Pro, Snap shares ended Tuesday’s session up 6.64% at $16.71.

Photo: Pixabay

Market News and Data brought to you by Benzinga APIs
Posted In: NewsSocial MediaMoverswhy it's moving
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!