Technical Analysis:
Based on recent price action, PANW has experienced a significant decline from its high of $199.26 to close at $191.03 on February 21, 2025 . The stock is showing signs of technical weakness with RSI at 48.71, indicating neutral momentum but trending lower.
Key Technical Indicators:
- RSI (14) at 48.71 suggests neutral momentum
- MACD shows positive divergence with MACD at 3.96 and signal line at 3.50
- Stock is trading above all major moving averages (SMA 20: $192.77, SMA 200: $175.55)
- Bollinger Bands show price near the middle band ($192.77), with upper band at $214.50 and lower band at $171.04
News Analysis:
- Recent positive developments include strong demand for AI-powered security products, particularly XSIAM platform which has accumulated over $1 billion in bookings
- The company executed a 2-for-1 stock split in December 2023 to make shares more accessible
- Palo Alto is experiencing strong platformization growth with a 50% year-over-year increase in customers adopting two platforms
Price Forecast for Next Week:
Based on technical and fundamental factors:
- Support levels: $186.50 (Fibonacci S2)
- Resistance levels: $206.14 (Fibonacci R1)
- Target range: $191-198
Trading Recommendation:
SELL with the following rationale:
- Technical indicators showing weakening momentum
- Price recently rejected at $199 resistance level
- Overall market uncertainty ahead of key economic data next week
- RSI stochastic indicators suggesting potential downward pressure
Price Targets:
- Initial target: $186.50 (Fibonacci S2)
- Secondary target: $179.00 (Fibonacci S3)
- Stop loss: $206.14 (Fibonacci R1)
Technical Analysis:
Based on recent price action, PANW has experienced a significant decline from its high of $199.26 to close at $191.03 on February 21, 2025 . The stock is showing signs of technical weakness with RSI at 48.71, indicating neutral momentum but trending lower.
Key Technical Indicators:
- RSI (14) at 48.71 suggests neutral momentum
- MACD shows positive divergence with MACD at 3.96 and signal line at 3.50
- Stock is trading above all major moving averages (SMA 20: $192.77, SMA 200: $175.55)
- Bollinger Bands show price near the middle band ($192.77), with upper band at $214.50 and lower band at $171.04
News Analysis:
- Recent positive developments include strong demand for AI-powered security products, particularly XSIAM platform which has accumulated over $1 billion in bookings
- The company executed a 2-for-1 stock split in December 2023 to make shares more accessible
- Palo Alto is experiencing strong platformization growth with a 50% year-over-year increase in customers adopting two platforms
Price Forecast for Next Week:
Based on technical and fundamental factors:
- Support levels: $186.50 (Fibonacci S2)
- Resistance levels: $206.14 (Fibonacci R1)
- Target range: $191-198
Trading Recommendation:
SELL with the following rationale:
- Technical indicators showing weakening momentum
- Price recently rejected at $199 resistance level
- Overall market uncertainty ahead of key economic data next week
- RSI stochastic indicators suggesting potential downward pressure
Price Targets:
- Initial target: $186.50 (Fibonacci S2)
- Secondary target: $179.00 (Fibonacci S3)
- Stop loss: $206.14 (Fibonacci R1)