No, I don't mean that twitter comments have been positive about the Trump victory. Shares of Twitter (TWTR) on the other hand reflects a market that looks at the election result as a positive, or at least not negative.
Twitter 4H Chart 11/10
(click to enlarge)
Prevailing strength and wipe out:
- Looking at the 4H chart we see a rollercoaster ride.
- We saw TWTR start to heat up in June.
- After a 3 upswings, price rallied from 14 to 25.
- Then In October, the market wiped out much of the gains from the previous 4 months.
- This rollercoaster ride reflects the markets anticipation of an acquisition offer for twitter.
- The fact that the October dip did not go back to 14.00 suggests that the market is still hanging on some hope that there will be an offer soon.
- After consolidating for about a month, TWTR popped up after the election results came in.
- This opens up the 20.20-21.05 resistance area, as well as the 25.00 high from October.
- If there is a pullback, a hold above 18.00 will be key to confirming the bullish outlook.
-0 A break below 18.00 on the other hand would suggest a false breakout and suggest a bearish outlook towards the 15.60 support pivot from July.
One thing was sure. Twitter was a great weapon for Mr. Trump during his election campaign. Maybe the company will clean up its act soon and polish itself for a real offer.