Swing Trade Idea (FTNT) – March 14, 2023
Our bearish trade for Tuesday, March 14th is Fortinet Inc. (FTNT). FTNT is part of the Technology Sector, which has performed at -3.20% over the last month, as it is pulling back from previous highs.
FTNT failed to break above a multi-month area of resistance at $62, and is currently showing signs of weakness. The 1M trend has already turned Neutral as FTNT is aiming lower. It is currently trading below the 21 Day EMA, from where we expect to see a continued pullback, with the next support at $53.
As a close, if FTNT were to trade above $62 for multiple days, this would invalidate our analysis and we will consider cutting losses on the trade. We also want to consider cutting losses on this options trade if the value of the vertical spread moves above $3.62.