Technology stocks have been strong over past couple of weeks, providing the kind of leadership that can take the entire market higher. Intel, Apple, Amazon and Facebook – just to name a few – have enjoyed solid performances. Yet some areas within the sector, particularly software and cloud services, have been showing mixed results. One of them is RedHat, a survivor from the “go-go dotcom” era that has evolved into a profitable company with a strong niche.
The stock chart of RedHat shows it’s been mired in a range since the Brexit at the end of June. Now, it looks like it may have burst out and is ready to move toward higher ground. Monday’s surge was on higher turnover and good relative strength, an indicator we have been watching closely. Resistance is ahead, but I believe a good earnings report will push this stock higher up towards the 80 level.
RedHat (Nasdaq:RHT) Video Chart Analysis
Take a deeper dive into the chart action on tech stock Nasdaq:RHT and learn how to read the technicals. Get Bob Lang’s full analysis as he marks up our chart of the week.
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About RedHat
Red Hat, Inc. provides open source software solutions to develop and offer operating system, virtualization, management, middleware, cloud, mobile, and storage technologies to various enterprises worldwide. It offers infrastructure-related solutions, such as Red Hat Enterprise Linux, an operating system platform that runs on hardware for use in physical, virtual, container, and cloud environments; Red Hat Satellite, a system management offering that helps to deploy and manage Red Hat infrastructure across physical and virtual servers, and cloud environments; and Red Hat Enterprise Virtualization, a software solution that allows customers to utilize and manage a common hardware infrastructure to run multiple operating systems and applications. The company offers application development-related and other technology solutions, such as Red Hat JBoss Middleware, a solution for developing, deploying, and managing applications, as well as integrating applications, data, and devices along with business processes automation; Red Hat cloud offerings, a software solution that enables customers to build and manage various cloud computing environments; Red Hat Mobile, a software development platform that enables customers to develop, integrate, deploy, and manage mobile applications for enterprises; and Red Hat Storage, a software solution that enables customers to treat physical server storage as a scalable, shared, centrally-managed pool of virtual storage and to manage large, unstructured, or semi-structured data in physical, virtual, and cloud environments.
