We looked at the charts and indicators of DocuSign ( DOCU) on April 21 when we wrote that "I cannot declare that the charts of DOCU are totally out of the woods but they certainly show improvement from the end of March. There is knowledge from a forecast that does not materialize and for DOCU it is good news so far."
Let's check on DOCU again. 
In this updated daily bar chart of DOCU, below, we can see that prices made a lower low in May before turning higher. DOCU gapped higher in early June with strong volume. Prices rallied above the 50-day moving average line and the 200-day moving average line.
The On-Balance-Volume (OBV) line turned up and showed us that buyers of DOCU were very aggressive. More recently the OBV line has turned neutral or flat. The 12-day price momentum study shows a bearish divergence with a lower high from July to August while prices made a higher high. The pace of the rally slowed and that can be a "tell" of a price reversal.
In this weekly Japanese candlestick chart of DOCU, below, we can see how impressive the rally has been since May. DOCU may have broken out the upside from a broadening formation. Prices are above the rising 40-week moving average line.
The weekly OBV line shows strength the past three years. The MACD oscillator is in a bullish alignment above the zero line.
In this daily Point and Figure chart of DOCU, below, we can see a downside price target in the $263 area.
In this weekly Point and Figure chart of DOCU, below, we can see a downside price target of around $251.
Bottom line strategy: DOCU rallied from $180 to over $314 in a relatively short period of time so a pullback or correction should not be a huge surprise. Reduce your long exposure in anticipation of buying DOCU lower in the weeks ahead.
