Traders Should Prepare for a Strong Move in Shares of Fortinet

NASDAQ: FTNT | Fortinet Inc. News, Ratings, and Charts

FTNT – A rectangle pattern has formed in the chart of Fortinet (FTNT). Shares have been trading sideways and the stock looking to make a strong move. Learn when to enter a position.

Shares of Fortinet (FTNT) have been in a sideways trading range and a rectangle pattern has emerged.

FTNT is a cybersecurity vendor that sells products, support, and services to small and midsize businesses, enterprises, and government entities. The company is benefiting from rising demand in security and networking products due to the coronavirus forcing the workforce to work remotely. It is also benefiting from strong growth in its Fortinet Security Fabric, cloud and SD-WAN offerings.

Take a look at the 1-year chart of FTNT below with added notations:

 Chart of FTNT provided by TradingView

After trending lower from its July peak, FTNT has fallen into a relatively tight, sideways trading range. While in the range, the stock has formed a resistance level at $120 (red), and a level of support at $112.5 (green), thus creating a rectangle pattern.

At some point, the stock will have to either break the $120 resistance or the $112.5 support.  The possible long position in the stock would be on a breakout above $120. The ideal short opportunity would be on a break below $112.50.

Want to See My Favorite Stock Trades Today?

The process I use to select these “Chart of the Day” stocks is just the starting point for what I put in my private portfolio.

There I take a deeper dive into the stock market outlook. And determine which sectors are likely to outperform. Then and only then to do I pull the trigger on the most timely trades.

If you would like to be notified of my best trades, then just click on the link below to get started!

See Christian Tharp’s Top Stock Picks Now

Have a good trading day!

Christian Tharp, CMT

@cmtstockcoach


FTNT shares were trading at $116.40 per share on Friday morning, up $0.90 (+0.78%). Year-to-date, FTNT has gained 9.03%, versus a 2.26% rise in the benchmark S&P 500 index during the same period.


About the Author: christian


Christian is an expert stock market coach at the Adam Mesh Trading Group who has mentored more than 4,000 traders and investors. He is a professional technical analyst that is a certified Chartered Market Technician (CMT), which is a designation awarded by the CMT Association. Christian is also the author of the daily online newsletter Todays Big Stock. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
FTNTGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


Updated 2024 Stock Market Outlook

The bull market continues to rage on with the S&P 500 (SPY) making new highs. That is the past...the question is what does the future hold? That is why 44 year investment veteran Steve Reitmeister provides this updated 2024 Stock Market Outlook to help you carve a path to outperformance the rest of the year. Read on below for the full story...

3 Energy Stocks Set to Soar Beyond Expectations

Given the geopolitical tensions, increasing global oil demand, and supply adjustments, the energy sector is poised for robust growth. Therefore, investors might consider investing in energy stocks TechnipFMC (FTI), Weatherford International (WFRD), and ChampionX (CHX), which are poised to exceed expectations. Keep reading…

Has Carnival (CCL) Stock Turned Into a Buy After Earnings Release?

Carnival Corporation (CCL) reported record revenue in its most recent quarter but still faces a negative bottom line. The collapse of Francis Scott Key Bridge brings more uncertainty to its financials. Given these events, what stance should one take with CCL stock? Read more to find out…

3 China Stocks Positioned for Long-Term Growth

Despite facing challenges, the Chinese economy has demonstrated resilience, as evidenced by recent robust industrial output and retail sales data. Given this outlook, it might be an opportune time to own three top-notch China stocks, JD.com, Inc. (JD), China Automotive Systems (CAAS), and Youdao, Inc. (DAO). Read on…

Investor Alert: “Buy the Rumor, Sell the News!”

Everyone knows that the Fed is going to cut rates at some point this year. That is the worst kept secret on the planet helping to explain how we keep making new highs for the for the S&P 500 (SPY). Unfortunately that creates an interesting predicament for stocks after rates are cut. Plus another hurdle in the 2024 Presidential election. Steve Reitmeister is here to share his insights on the market outlook along with a preview of his top 12 stocks to outperform. Read on for more...

Read More Stories

More Fortinet Inc. (FTNT) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All FTNT News