NEW YORK – Shares of financial technology giant Intuit Inc. (NASDAQ: INTU) finished a volatile session in positive territory on Thursday, closing at $776.57, a gain of 0.48% for the day. While the close was positive, the stock’s intraday journey tells a more complex story of a battle between bullish momentum and late-session profit-taking, leaving investors to ponder what Monday holds.
The market opened with strong buying pressure for Intuit, with the stock immediately gapping up from its previous close of $772.86 to an opening price of $771.16 (which also served as the day’s low). Bulls remained firmly in control through the morning, driving the price to a new 52-week high of $787.22 around midday. This milestone signaled significant investor confidence and continued the stock’s powerful upward trend.
However, after reaching this peak, the momentum stalled. The afternoon session saw a steady decline as investors appeared to lock in profits, pushing the stock off its highs by more than $10. The stock ultimately closed near the day’s midpoint, well above its open but significantly below its peak. This “fade” from a new high is a classic technical signal that can sometimes indicate short-term exhaustion.
Further supporting a cautious outlook, after-hours trading showed a slight dip, with the price ticking down to $776.54.
Outlook for Monday: A Tug-of-War on the Horizon
Based on Thursday’s trading action, the market is likely to see a hesitant and potentially downward-biased open for Intuit on Monday.
The primary reason for this outlook is the significant profit-taking that occurred after the stock hit its 52-week high. When a stock fails to hold a major breakout level, it often suggests that the bullish momentum is waning and sellers are becoming more aggressive. Traders who bought in anticipation of the breakout may now be looking to exit, while short-sellers may see the failure to hold the high as an opportunity.
Investors on Monday will be closely watching if the stock can hold support around its closing price of $776. A break below this level could signal a further pullback toward the day’s opening price near $771. However, if buyers step in and defend this level, it could suggest the afternoon sell-off was merely a healthy consolidation before another attempt to challenge the $787 high.
: While Intuit remains a fundamentally strong company that achieved a significant milestone, the immediate technical picture suggests caution. The failure to close near the highs points to a potential for a slight downturn or consolidation when the market reopens on Monday.
