- Twilio eroded more than 85% of wealth from highs
- The stock has been in a consolidation phase for the last year
- The company’s income consistently declined over years
Market Capital of Twilio (TWLO): $11.96 Billion
Current Market Price of Twilio (TWLO): $66.08
How the Stock Price Has Reacted Till Now?
The stock was listed in 2016 near the price of $25 and within 5 years of listing the stock gave a massive return of more than 1900%. It gave a wonderful reward to its investors for their patience, but this happiness didn’t last long as the price saw a massive sell-off from higher levels. The stock price came down and it is now trading about 85% off highs.
A major reason for this bearish move is the continued decline of the net income of the company over years and years
Technical Analysis on a 1-Week Time Frame
The price is trading near to the range from where the stock showed a wonderful rally toward the level of $450. For the long-term investors, it was a roller coaster ride in 7 years of its journey. The stock price saw a massive jump and manifold the investment of the investors. It is again trading back to the levels from where it started.
The price is consolidating in a range where it is trading below all three EMAs i.e. 50-day, 100-day, and 200-day and the slopes of the EMAs are downward, which shows that the stock is currently in the sellers’ grip.
Technical Analysis on a 1-Day Time Frame
The stock price is currently struggling between the EMAs, which is a sign of major consolidation where the 200-day EMA is acting as a major hurdle for this stock. The other two EMAs i.e. 50-day and 100-day are acting as a support.
If we talk about the supply and demand zone, then the demand zone is present as a trendline that is sloping mildly upward at the level of $50. The supply zone is present at $80 and $96 levels.
Technical Analysis on a 1-hour Time Frame
The price forms a symmetrical triangle pattern where the resistance is present at a trendline near the $67 level. The support as a trendline is present at the level of $58.
If the pattern breaks on either side then the levels we watched for are as follows:
The next demand zone for the price of this stock is present at the levels of $40.59 to $45.26. The supply zone for the price is present near the levels of $80 and $96.
As the stock has been in a consolidation phase for so long, it can break any of the levels whether upside or downside.
To move up, the stock should breach the level of $80. If it breaches the near-term support, it can unlock the lower levels of $ 40.
1 Week: 10. 02 %
1 Month: 7. 59 %
1 Year: – ( 1.46) %
- Resistance- $ 80 and $ 96
- Support – $ 60 and $ 45
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