TWITTER BEARISH AHEAD OF CEO’S CONGRESS TESTIMONY
Twitter closed at $34.84 on Tuesday lower by 0.97 % from the last closing. In the premarket trading on Wednesday the share was lower by 0.55%.
The main event traders will be focusing on Wednesday will be the testimony of Twitter CEO Jack Dorsey in the US Congress. The CEO will defend the company in the U.S. Congress on Wednesday over what lawmakers see as a failure to combat continuing foreign efforts to influence U.S. politics. Further, he will acknowledge to the Senate Intelligence Committee that the company was too slow to respond to Russian efforts to interfere in the 2016 U.S. election and American society but insist it is doing better.
The CEO will state to the House Energy and Commerce Committee that Twitter “does not use political ideology to make any decisions,” according to written testimony also made public on Tuesday. Any negative opinion by the Congress will have a direct impact on the stock.
On the technical front, RSI is currently at 47.65% and suggests that the market can move in the downward direction. The %K has crossed the %D from above to the downside at 89.01 and suggests that the market may head downwards. The current price is below the MA5. The current price is above the middle line of the Bollinger bands but is heading downwards. Overall market sentiment seems to be negative.
TRADE SUGGESTION-LIMIT SELL AT 34.82 TAKE PROFIT AT 34.52 STOP LOSS AT 34.97