Keep an eye on Snowflake (SNOW).
After diving from about $230 to less than $158 on poor guidance, SNOW has become aggressively oversold. And, according to retiring CEO Frank Slootman, “I mean, I’m chuckling here. We had an exceptional quarter…. The thing you should be reacting to is the real results that we published rather than the guide. For consumption companies like ours, it’s hard to give guidance,” as noted by Barron’s.
Company director Mark McLaughlin just paid $501,300 on March 6 for 3,030 Snowflake shares, an average price of $165.45 each.
As you can see in the chart above, SNOW caught support dating back to November. It’s also just starting to pivot from oversold RSI, MACD, and Williams’ %R. From its last price of $167.16, we’d like to see it initially retest $190. Longer term, we’d like to see a bearish gap refill around $230 a share, with patience.
