NEW YORK – ServiceNow Inc. (NOW) faced intense selling pressure on Thursday, closing with a significant loss that has put investors on the defensive heading into next week. While a late-day bounce provided a flicker of hope, the overwhelming trend was negative.
The cloud computing company ended the day at
10.67 (1.09%). The session started with brief optimism, opening at $985.59 and hitting a high of
965.45**.
A bounce in the final hour of trading helped the stock recover some ground, but the damage was already done. Tellingly, after-hours trading was completely flat, with the stock holding at $971.41, indicating a pause in the action but offering little evidence of a bullish reversal.
Outlook for Monday:
The market is leaning bearish for ServiceNow, with one critical price level set to define the start of the week.
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The Bearish Case (Market Down): This is the more probable scenario. The dominant intraday downtrend and the failure to hold early gains suggest sellers are in command. On Monday, traders will be laser-focused on the session low of $965.45. A break below this crucial support level would signal that the bearish trend is likely to continue, potentially leading to further losses.
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The Bullish Case (Market Up): The only hope for bulls lies in the late-day bounce off the lows. For a positive start to the week, buyers would need to not only defend the
971 to build fresh momentum. The lack of any buying interest in after-hours trading makes this a more challenging proposition.
Investors should prepare for a potentially negative start on Monday. The ability of the stock to hold its recent low of $965.45 will be the most important test of market sentiment.
