To The Moon

The Fortinet $Fortinet(FTNT)$ stock price gained 1.30% on Thursday, 10th Aug 2023, rising from $59.78 to $60.56. It has now gained 4 days in a row. It will be exciting to see whether it manages to continue gaining or take a minor break for the next few days. During the last trading day the stock fluctuated 3.56% from a day low at $60.07 to a day high of $62.21. The price has risen in 8 of the last 10 days but is still down by -20.92% for this period. Volume fell on the last day by -2 million shares and in total, 11 million shares were bought and sold for approximately $665.16 million. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.

The stock lies in the lower part of a very wide and weak rising trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $57.07 is broken, it will firstly indicate a slower rate of rising, but may also be an early warning for a trend shift. Given the current short-term trend, the stock is expected to rise 6.12% during the next 3 months and, with a 90% probability hold a price between $60.56 and $86.64 at the end of this 3-month period.

FTNT Signals & Forecast

A buy signal was issued from a pivot bottom point on Friday, August 04, 2023, and so far it has risen 6.68%. Further rise is indicated until a new top pivot has been found. Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely. Some negative signals were issued as well, and these may have some influence on the near short-term development. The Fortinet stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at $63.35 and $73.77. A break-up above any of these levels will issue buy signals. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD).

Support, Risk & Stop-loss for Fortinet stock

Fortinet finds support from accumulated volume at $58.57 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved $2.14 between high and low, or 3.56%. For the last week, the stock has had daily average volatility of 4.59%.

Fortinet is oversold on RSI14 (23). Some stocks may drop long and hard while being oversold on RSI before turning, which increases the general risk.

Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (FTNT) For The Trading Day Of Friday 11th

For the trading day on Friday, 11th we expect Fortinet to open at $60.95, and during the day (based on 14 day Average True Range), to move between $57.60 and $63.52, which gives a possible trading interval of +/-$2.96 (+/-4.88%) up or down from last closing price. If Fortinet takes out the full calculated possible swing range there will be an estimated 9.77% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at $58.57 (3.29%) than the resistance at $67.77 (11.91%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Insiders are negative selling more shares than they are buying in Fortinet

In the last 100 trades there were 169.19 thousand shares bought and 295.22 thousand shares sold. The last trade was made 10 days ago by Xie Michael who bough 2.03 thousand shares. In general the insiders are selling more stocks than they buy. There can be a variety of reasons for this, but in general it can be considered as a negative signal.

Is Fortinet stock A Buy?

The Fortinet stock holds several negative signals and despite the positive trend, we believe Fortinet will perform weakly in the next couple of days or weeks. Therefore, we hold a negative evaluation of this stock.