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Swing Trade Idea (TWTR) – February 15, 2022

Our bearish trade for Tuesday, February 15th is TWTR (Twitter Inc.). TWTR is part of the Communication Services Sector which has experienced a 9.04% decline over the last month, with TWTR performing at -7.78% for the same period.

TWTR has bounced higher to an area of resistance at $39 which provides a good risk/reward bearish entry. With a Technical Score of 2 (out of 10), as well as 1M and 6M Bearish trends, TWTR is expected to continue lower. 

As a close, if TWTR were to trade above $39 for multiple days, this would invalidate our analysis and we consider cutting losses on the trade. We also suggest cutting losses on this options trade if the value of the vertical spread moves above $3.10.