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Technical Analysis: Is This Social Media Stock Overbought After an Earnings Rally?
David Russell
February 23, 2022

Snap had a sharp rally on February 4 after quarterly results beat estimates. But now its longer-term downtrend may be reasserting itself.

The first pattern on today’s chart is the stochastic oscillator. It’s swinging back to the downside after jumping into overbought territory.

Next, price tested but was unable to break above …

For more, please click here to view the related idea and chart analysis on TradingView.

Snap (SNAP), daily chart with selected patterns and indicators, courtesy of TradingView.
Tags: SNAP

About the author

David Russell is Global Head of Market Strategy at TradeStation. Drawing on nearly two decades of experience as a financial journalist and analyst, his background includes equities, emerging markets, fixed-income and derivatives. He previously worked at Bloomberg News, CNBC and E*TRADE Financial. Russell systematically reviews countless global financial headlines and indicators in search of broad tradable trends that present opportunities repeatedly over time. Customers can expect him to keep them appraised of sector leadership, relative strength and the big stories – especially those overlooked by other commentators. He’s also a big fan of generating leverage with options to limit capital at risk.