During the popular Lightning Round segment of Mad Money Wednesday night one caller asked about Chegg, Inc. (CHGG) . "I think you're doing a great job," was Cramer's response about the education technology company that provides digital and physical textbook rentals, online tutoring, and other services.
We last looked at CHGG on Aug. 12, so let's check out the latest charts and indicators.
In the daily bar chart of CHGG, below, we can see that prices weakened from August into the middle of September. While prices are still trading below the declining 50-day moving average line we can still find a few positive clues.
Trading volume does not look like it increased on the decline, telling us that traders did not vote with their feet. The On-Balance-Volume (OBV) line has been steady the past two months suggesting that buyers and sellers of CHGG are in balance.
The 12-day price momentum study in the lower panel shows equal lows from August into September, which is a bullish divergence to the price action which made lower lows during the same time period.