Shopify failed to hold a record high in late October, and now some traders may think a breakdown is starting.
The first pattern on today’s chart is the drop on November 4 after quarterly results. The e-commerce company subsequently remained below that session’s range, making lower highs in December and January.
Second, October 29’s peak was slightly above the previous record from 2021. That could be viewed as a false breakout.
Third is the price zone around $135, corresponding to lows in early September and mid-November. SHOP closed below that level last week. Has support broken?
It also closed under its 200-day simple moving average for the first time since May, which may suggest its longer-term trend has grown less bullish.
Finally, the 8-day exponential moving average (EMA) is below the 21-day EMA. MACD is also falling. Those signals could reflect short-term bearishness.
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Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at https://www.TradeStation.com/DisclosureOptions. Before trading any asset class, customers must read the relevant risk disclosure statements on https://www.TradeStation.com/Important-Information/. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.
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TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit https://www.TradeStation.com/DisclosureTSCompanies for further important information explaining what this means.
The first pattern on today’s chart is the drop on November 4 after quarterly results. The e-commerce company subsequently remained below that session’s range, making lower highs in December and January.
Second, October 29’s peak was slightly above the previous record from 2021. That could be viewed as a false breakout.
Third is the price zone around $135, corresponding to lows in early September and mid-November. SHOP closed below that level last week. Has support broken?
It also closed under its 200-day simple moving average for the first time since May, which may suggest its longer-term trend has grown less bullish.
Finally, the 8-day exponential moving average (EMA) is below the 21-day EMA. MACD is also falling. Those signals could reflect short-term bearishness.
TradeStation has, for decades, advanced the trading industry, providing access to stocks, options and futures. If you're born to trade, we could be for you. See our Overview for more.
Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at https://www.TradeStation.com/DisclosureOptions. Before trading any asset class, customers must read the relevant risk disclosure statements on https://www.TradeStation.com/Important-Information/. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.
Securities and futures trading is offered to self-directed customers by TradeStation Securities, Inc., a broker-dealer registered with the Securities and Exchange Commission and a futures commission merchant licensed with the Commodity Futures Trading Commission). TradeStation Securities is a member of the Financial Industry Regulatory Authority, the National Futures Association, and a number of exchanges.
TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit https://www.TradeStation.com/DisclosureTSCompanies for further important information explaining what this means.
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Informacje i publikacje nie stanowią i nie powinny być traktowane jako porady finansowe, inwestycyjne, tradingowe ani jakiekolwiek inne rekomendacje dostarczane lub zatwierdzone przez TradingView. Więcej informacji znajduje się w Warunkach użytkowania.