• 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

The Pullback in CrowdStrike Looks Entirely Normal

Let's review the charts and indicators.
By BRUCE KAMICH
Sep 10, 2021 | 08:50 AM EDT
Stocks quotes in this article: CRWD

For his second "Executive Decision" segment of Mad Money Thursday evening, Jim Cramer spoke with George Kurtz, co-founder, president and CEO of CrowdStrike Holdings (CRWD) , the cybersecurity company.

Kurtz said the threat of cyberattack has never been greater, with ransomware attacks gaining in frequency and severity. He said that hackers will now steal a copy of your data before encrypting the copies on your network. If companies opt not to pay, the stolen data will then be used for extortion, leaving companies with a lose-lose situation.

Adding to the "big mess" is cryptocurrency, which allows hackers to make off with their ransoms often undetected. Little can be done about hackers outside of the U.S., Kurtz noted.

Companies are also putting themselves at risk by using legacy software and technologies, Kurtz said. These systems were not designed for today's security needs and cannot take advantage of cloud technologies that allow intrusions to be detected quickly.

Cybersecurity is a long-term theme that's not going away any time soon, Cramer concluded. Let's check on the charts of CRWD. We last reviewed the charts of CRWD on August 27 and recommended that traders should "Stay long CRWD but raise stops to $255 from $195. Our price targets are $300, $333 and now $400."

In this updated daily bar chart of CRWD, below, we can see that prices have pulled back to correct the gains from mid-August. Prices are still above the rising 50-day moving average line as well as the bullish 200-day line. The trading volume declined on the pullback and that is a plus as it tells us that traders largely held their long positions.

The On-Balance-Volume (OBV) line shows a small dip and the Moving Average Convergence Divergence (MACD) oscillator has narrowed.

In this weekly Japanese candlestick chart of CRWD, below, we can see a strong picture. Prices are in an uptrend above the rising 40-week moving average line. The weekly OBV line is bullish and so is the MACD oscillator.

In this daily Point and Figure chart of CRWD, below, we can see a new and slightly higher price target of $407.

Bottom line strategy: Stay long CRWD with stops at $255. Our price targets are $300, $333 and now $400-$407.

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 prohibited from trading individual securities.

TAGS: Investing | Stocks | Technical Analysis | Trading | Cybersecurity | Technology | Mad Money | Executive Interview | Cryptocurrency

More from Investing

Fear and Anxiety on Wall Street

James "Rev Shark" DePorre
Aug 17, 2022 4:41 PM EDT

We've got fear of missing out and wariness that the market may keep running away to the upside.

Peabody Is Glowing Hot

Mark Sebastian
Aug 17, 2022 3:19 PM EDT

Here's how to play Peabody Energy as it looks like it could fire up over $25.

It's Hard to Say What's Cookin' at Weber, Though It Smells Like a Short Squeeze

Jonathan Heller
Aug 17, 2022 11:30 AM EDT

The grillmaker's stock has traded wildly and heavily at times, most recently this week after it posted its latest results on Monday.

Dour Day Shows Why I've Been Raising Cash Into Strength

James "Rev Shark" DePorre
Aug 17, 2022 10:44 AM EDT

I'm not aggressively bearish, but just waiting for better technical conditions.

Target Badly Misses the Mark, Which Sets It Up for a Bearish Bet

Stephen Guilfoyle
Aug 17, 2022 10:30 AM EDT

The big retailer's second-quarter results were atrocious and so is its balance sheet, which makes it a stock not to buy right now.

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

  • 02:23 PM EDT STEPHEN GUILFOYLE

    We're Cleaning Out This Retailer From the Bullpen

    Check out the latest moves in TheStreet's Stocks U...
  • 10:24 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    To Improve Your Trading and Investing, Spend More ...
  • 08:44 AM EDT PETER TCHIR

    CPI Beats Expectations, But Maybe Not the 'Whisper'?

    Slightly better-than-expected inflation across the...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2022 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