• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing
  3. / Technology

Cloud Computing Nutanix Could Float Sideways For the Near-Term

There are some technical clues and signals we can glean from the latest charts.
By BRUCE KAMICH
Jun 01, 2018 | 09:27 AM EDT
Stocks quotes in this article: NTNX

We do not have much trading history of the cloud computing company Nutanix, Inc. (NTNX) but there are some technical clues and signals we can glean from the latest charts. Let's check.

In this daily bar chart of NTNX, below, we can see that prices have tripled in the past year. Impressive. Prices have recently tested the flat 50-day moving average line. The slower-to-react 200-day moving average line has been positive since December and we can see a bullish golden cross of the 50-day and 200-day averages in early October.

The daily On-Balance-Volume (OBV) line has been up-sloping the past 12 months but has leveled off since March. In the lower panel is the 12-day price momentum study or indicator.

We can see lower highs or weaker momentum readings from March to May and this is a bearish divergence when compared to the price action. The pace of the rally has been slowing and this can sometimes foreshadow price weakness ahead.

In this weekly chart of NTNX, below, we only go back to September of 2016. Prices are above the rising 40-week moving average line.

The weekly OBV line turned positive in April of last year but like the daily line is more neutral in recent months.

The trend-following Moving Average Convergence Divergence (MACD) oscillator has narrowed and we could soon see a take profits sell signal.

In this Point and Figure chart of NTNX, below, we can see that prices met a downside price target of $52.

Bottom line: It is always tricky when working with limited price data. With neutral volume/OBV information and a bearish divergence from our momentum study I would take a neutral/sideways stance on NTNX for now. NTNX was just $15 a few months ago and recently it touched $60, so a time out or sideways consolidation would be welcomed.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are restricted from trading individual securities.

TAGS: Investing | U.S. Equity | Technology | Stocks

More from Technology

Market Broadens, Russell Roars, Recession Debate, Why AMD Moved, Boeing Defect

Stephen Guilfoyle
Jun 7, 2023 7:29 AM EDT

This could be the most significant technical development for the Russell 2000 and the IWM in quite some time.

Stop Covering Your Eyes: Roku Could Rise Again

Bruce Kamich
Jun 6, 2023 2:30 PM EDT

Is it safe to play ROKU? Let's check the charts.

Play Unity Software This Way as the Stock Surges on Apple Vision Pro Partnership

Stephen Guilfoyle
Jun 6, 2023 10:40 AM EDT

Clues were out there, but the news certainly took most by surprise.

Here's How High Oracle Could Trade in the Months Ahead

Bruce Kamich
Jun 6, 2023 9:37 AM EDT

We have new price targets.

Veeva's Gap Higher Gives Life to Our Attractive Price Target

Bruce Kamich
Jun 6, 2023 8:16 AM EDT

Here's our strategy based on potentially impressive upside for the shares.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 07:19 PM EDT CHRIS VERSACE

    AAP Podcast: This Company Is Not Going 'Solo'

    Listen in as I talk with the very diversified Solo...
  • 01:51 PM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    Adjusting Your Trading Approach to Shifting Market...
  • 06:54 PM EDT CHRIS VERSACE

    AAP Podcast: A Tongue -- and a Market -- Twister: 'Get a Debt Deal Done'

    Listen in as the Action Alerts PLUS Podcast tackle...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2023 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login