PANW Stock Run The Palo Alto stock chart above is simple and shows the effectiveness of the 200-day moving average. The 200-day moving average is the dividing line between stocks trading in a bull market versus stocks trading in a bear market. When the share price is above the moving average, it is bullish; when the share price is below the moving average, it is bearish.
This indicator serves to smooth out the long-term trend in PANW stock. In December 2013, Palo Alto stock crossed above the 200-day moving average and the share price proceeded to climb 300% before peaking at $200.55. This marked the bull phase.
The run higher of the lows in June have been very uniform. PANW stock has been confined by two trend lines that represent support (highlighted in baby blue) and resistance (highlighted in black). Swing traders can use these trend lines to effectively trade the range. The price has tested support and resistance on numerous occasions, but the price tends to hug the resistance line as the buying pressure is high.
In October 2016, Palo Alto stock generated a golden cross. A golden cross is a bullish signal that is produced when a 50-day moving average, highlighted in blue, crosses above a 200-day moving average, highlighted in red. This signal serves to confirm that a bull market is on the horizon and reaffirms the price increase. It it not uncommon for a trend to accelerate after such a signal, as traders use this a prevailing tailwind that will further drive share prices.Click here for reuse options!