Shares of Twitter, Inc. (TWTR) jumped Monday as the Wall Street Journal reported that Elliott Management has purchased a $1 billion position in the social media company and nominated four directors to Twitter's board. The activist investor has been in talks with the company about finding a full-time CEO. For now, goes the story, Elliott is working with the company, rather than waging a public campaign. Elliott Management, founded by Paul Singer, is one of the oldest fund managers of its kind.
Let's check out the charts of TWTR.
In the daily bar chart of TWTR, below, we can see that prices have made a number of rapid up and down and up (again) movements in an eight dollar range from around $32 to $40. TWTR is back above the cresting 50-day moving average line and testing the mostly flat 200-day moving average line.
The On-Balance-Volume (OBV) line started to strengthen in early November and tells us that buyers (such as Elliott Management) have been more aggressive. The Moving Average Convergence Divergence (MACD) oscillator has turned down for a take profits sell signal recently.