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| Gator's Chart of the Day: FTNT |
Fortinet has now moved into the gap created when the market didn't like the earnings report. Friday's open and close were both above 20.81 (beginning of the gap) and volume was 30% higher than Thursday and 10% above the 50 day moving average. Buyers are coming. The stochastic is in overbought territory at 89.05 but strong stocks stay overbought as they make their move higher.
I'm in the trade using January calls and I'm looking for the stock to test the top of the gap before they expire. I'm not expecting the move to be without a red candle or two but I plan to hold a core position as long as the stock remains in the gap.
