From the desk of Thomas Bruni @BruniCharting
Twitter has been a disaster of a stock for the majority of its time as a public company, but recent price action suggests a tradable bottom may be in on an absolute and relative basis.
Before getting into the price action, it’s worth acknowledging the continued deterioration in sentiment regarding this stock in recent months. I’ve been negative on the stock for a while, but with the downside targets I outlined here being met, I don’t see a reason to be overly pessimistic on the stock at current levels. With price action improving in the face of another poor earnings report and another slew of analyst downgrades, it appears, at least anecdotally, that sentiment is overly bearish in this name.
With sentiment suggesting a neutral/bullish stance is appropriate, let’s see what price is indicating.