Stock market: Twitter in a bad way

Twitter action, which is trending down, could accelerate its pullback if it breaks out of $ 41.10 support, reports Capital.fr in one of his recent publications. The log indicates thate Twitter got off to a bad start in the 2022 stock market year, unlike the CAC 40.

It should be noted that the action of the social network has been weakening since the peak of last October, with a marked downward trend. Moreover, the analysis of the Bollinger bands (gauge of the volatility of the value) in daily data suggests new downward pressures in the short term. “While Twitter is targeting an average annual growth of 20% for its active users, with turnover expected to double between 2020 and 2023, these objectives are considered ambitious by the broker”, underlines Capital.fr.

“While the change of CEO does not necessarily threaten the group’s ability to achieve its objectives, we expect to see more progress,” notes Wedbush, a private investment company. Recall that the founder Jack Dorsey stepped down as CEO a few months ago. Apparently, the bleeding cannot be stopped, especially as the Twitter stock is trending downward, in daily data.

“The lower bound of the Bollinger bands is open, while the exponential moving averages at 13 and 34 days (MMe13 and MMe34) appear to be dynamic resistances”, notes Daniel Cohen de Lara, president of the French Association of Technical Analysts ( Afate).

Note that in the event of a break confirmed at the end of the support at 41.10 dollars, the objectives would be located at 37.95 dollars then 34.69 dollars and 31.48 dollars, according to the expert. However, this negative scenario would be called into question in the event of a return above $ 48.30. In addition, Twitter announces that it has sold its Mopub platform. The social network resells its advertising platform to focus on its new products and try to optimize their monetization. The amount of the transaction is $ 1.05 billion.

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Par Hassan Benadad

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