TWTR may be experiencing a bearish bounce off the EMA 50. I will look to enter bearish if the reversal continues or look to play a bullish cross of the EMA50.
This idea and analysis is part of a 3-month trading challenge in which I am only using the EMA 50 to indicate trades.
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TWTR blew out the EMA50 today forming a rest after battle pattern. Will it run up to most recent resistance?
As a follow up to yesterday's comment. TWTR's action today confirms what I surmised. The stock traded above Monday's high and stayed above last week's low. I believe my original recommendation last week to go long has been correct and that we are into a new up leg. Price action will tell us how long and successful such a leg proves to be.
brianmontgomery
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If TWTR can close above the EMA 50 I would agree with you as far as this analysis strategy goes. Thanks for the collaboration. I appreciate your insight.
chartsmaster
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This is not a bearish reversal! It would have to trade below the low made last week after the earnings release. This is just normal backing and filling after three stong days following the drop. Go long all pullbacks.
brianmontgomery
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I agree that it has been bullish recently, I was just trying to cover both sides of the EMA 50 as far as possible entries. I'm using only the EMA50 as an indicator for this trading challenge which is where I derive my analysis of a bounce off resistance. I don't feel strongly either way on TWTR at this point, but I appreciate the input! I'm always trying to learn and improve.