Software company Palantir Technologies Inc. (PLTR) specializes in big data analytics and had a big run up into early 2021 from when it went public. It was for a while a Cathie Wood's "pick."
In our last review of PLTR on Nov. 10 we wrote that "For now I would stay with the long side of PLTR and hold longs from previous recommendations. Let's use a $21 stop and see if traders reject the current price weakness." PLTR remained weak and we would have been stopped out quickly.
Let's check the charts again. 
In this updated daily bar chart of PLTR, below, we can see that prices have worked steadily lower since September. Prices gapped lower the other day on weak guidance. PLTR trades below the declining 50-day moving average line and the bearish 200-day average line. The trading volume has surged, but that has not marked a durable low. The daily On-Balance-Volume (OBV) line is weak and pointed lower. The 12-day price momentum study has not shown us any slowing in the pace of the decline and thus no bullish divergence.
In this weekly Japanese candlestick chart of PLTR, below, we are not surprised with the bearish picture. Prices are in a downtrend and trade below the negatively sloped 40-week moving average line. No bottom reversal patterns are visible and no lower shadows. The falling window (what Japanese analysts call a downside gap) adds to the negative story. The weekly OBV line is pointed down and is bearish along with the Moving Average Convergence Divergence (MACD) oscillators.
In this daily Point and Figure chart of PLTR, below, we can see that prices reached and exceeded a downside price target of $8.32.
In this second Point and Figure chart of PLTR, below, we used weekly price data. Here the software suggests a price target of below $1.00. Ouch.
Bottom line strategy: I find no technical reasons to recommend the long side of PLTR. Avoid the long side.
