If history is any guide, there may be problems in the future for sharing Service Today (NYSE: NOW). A so -called “death cross” has formed on its chart and, not surprisingly, it could be bearish for the stock.
What to Know: Many traders use the moving average crossover system to make their decisions.
When a shorter long-term average price crosses a longer long-term average price, it can mean that the stock is trending higher. If the short -term average price crosses below the long -term average price, it means that the trend is lower.
Why It’s Important: The 50-day and the 200-day simple moving averages are commonly used.
The death cross occurs when the 50-day moves below the 200-day. This could mean that the long -term trend is changing.
That just happened to ServiceNow, which was trading at around $ 584.60 at the time of publication.
Note: Skilled investors are not blind to trading Death Crosses.
Instead, they use it as a signal to start looking for short positions based on other factors, such as price levels and company basics and events.
For seasoned investors, this is just a signal that it may be time to start considering possible short positions.
With that in mind, take a look at ServiceNow’s past and upcoming revenue expectations:
|quarter||Q4 2021||Q3 2021||Q2 2021||Q1 2021|
Also consider this overview of ServiceNow analyst ratings:
Do you use the Death Cross signal in your trading or investing? Share this article with a friend if you find it helpful!
This article was generated by Benzinga’s automated content engine and reviewed by an editor.