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Swing Trade Idea (FTNT) – April 27, 2023

Our bearish trade for Thursday, April 27th is Fortinet, Inc. (FTNT). FTNT is part of the Technology Sector, which has performed at 0.88% over the last month with FTNT underperforming relative to its sector at -0.91% over the same period.

FTNT is pulling back to lower levels from a key resistance area of $69. This week has seen a break below the 55 Day EMA while volume is decreasing. The 1M trend has recently turned Mildly Beatish and we expect to see further downside over the duration of this trade.

As a stop loss, if FTNT were to trade above $65 for multiple days, this would invalidate our analysis and will consider cutting losses on the trade. We also will consider, cutting losses on this options trade if the value of the vertical spread moves above $3.56.