| Tickers in this article: JD, TMUS, INFY, PANW These technology sector stocks are showing signs of a topping pattern, or have begun to trend lower, indicating more downside to come. These sell signals warn traders who are long it may be time to sell, as well as provide short trading opportunities. Here some trades levels to consider.
JD.com, Inc. (JD) has had a rough few months recently. The stock peaked at $38 in June, before falling to $21.55 in August. Since the August low the price is moving in a channel higher. While this is upward progress, the buying is muted compared to the selling seen in prior months. This indicates the rally is likely just a pullback in a larger downtrend. The price could continue to channel higher, but is expected to meet stiff resistance if it reaches $32 to $33. The price breaking below channel support, currently at $27, is a signal the upward channel is over and the downtrend is resuming.
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