Chart shows Riverbed may sink lower
Wesley Harr | firstname.lastname@example.org
Today shares of RVBD are forming a "bearish engulfing pattern" and are facing support levels going back to mid-July 2010, as shown on the two-year chart below. It usually isn't a good sign when we have to pull up a multi-year chart to find support on a stock, and that's what we are faced with in this networking-technology company.
RVBD is down about 5 percent to $16.93 in afternoon trading. The first downside potential is $16, but shares may see the $14 level if the pressure continues in this fashion.
(Chart courtesy of tradeMONSTER)