Gartner Stock Plunges 6.47% In 5 Days As Technicals Signal Deepening Bearish Trend

Gartner (IT) recently closed at $374.40 after a 3.45% single-day decline, marking its fifth consecutive daily loss and a 6.47% cumulative drop over this period. This accelerated downtrend signals heightened bearish momentum, which will be evaluated through multiple technical lenses below.
Candlestick Theory
The most recent session formed a long-bodied bearish candle closing near its low of $373.87, demonstrating persistent selling pressure. This follows a series of declining candles with diminishing upper wicks, indicating failed recovery attempts. Key support emerges at $373.87 (today’s low), while resistance converges near $386–$388, aligning with prior swing lows and psychological barriers. A sustained close below $374 could open further downside toward the $360–$365 zone, where consolidation occurred in late 2024.
Moving Average Theory
All critical moving averages exhibit bearish alignment: the 50-day SMA (~$417) crossed below the 200-day SMA (~$445) in early July – a "death cross" signaling extended bearish momentum. The stock currently trades 11% below its 50-day SMA, with the 100-day SMA (~$429) accelerating downward. This configuration creates dynamic resistance near $395–$400, where the 50-day and 100-day SMAs converge, suggesting any rebound would face significant overhead supply.
MACD & KDJ Indicators
The MACD (12,26,9) remains deep in negative territory at -8.5, with the signal line trailing at -6.2 – its widest bearish gap since April 2025. This divergence from June’s price consolidation warns of unresolved downside momentum. Meanwhile, the KDJ oscillator shows %K (6.8) and %D (11.2) entrenched below 20, reflecting extreme oversold conditions. However, the absence of bullish crossovers despite five days of decline highlights weakening momentum recovery potential.
Bollinger Bands
A pronounced Bollinger Band expansion occurred as volatility spiked during the 5-day selloff, with price breaking below the lower band ($378) for two consecutive sessions. Historically, such events preceded short-term bounces, but the failure to reclaim the 20-day midline ($395) this week suggests continued bearish control. The 5.6% band width expansion from July 7 confirms rising volatility favoring downside continuation.
Volume-Price Relationship
Volume surged 22% above the 30-day average during the current five-day decline, confirming distribution. Notably, the highest volume day (July 11) coincided with the largest price drop (-3.45%), validating bearish conviction. By contrast, minor rebound attempts on July 7–8 occurred on below-average volume, undermining recovery sustainability. This volume profile supports further downside until capitulation volumes emerge.
Relative Strength Index
The 14-day RSI reads 24.8, sinking deeper into oversold territory (sub-30) for the third session. While traditionally a reversal warning, the RSI has remained below 40 since late June without triggering recovery – consistent with strong trending behavior. Bearish divergence is evident: the July 1 lower high (RSI 48) against June’s price peak (RSI 56) foreshadowed the current breakdown, suggesting limited predictive power in the current oversold zone.
Fibonacci Retracement
Applying Fibonacci to the June 11 high ($424.87) and July 11 low ($373.87) reveals confluence with key technical levels. The 38.2% retracement ($393.60) aligns with the July 8–9 resistance cluster and the 100-day SMA. Crucially, the 23.6% level ($386.20) converges with the July 10 low and the Bollinger midline – now pivotal resistance. A breakdown extension could target the 127.2% extension at $358.80, overlapping with Q4 2024 consolidation highs.
Confluence and Divergence Synthesis
Confluence emerges in the $385–$395 resistance zone, where Fibonacci levels, moving averages, and volume-based resistance intersect – requiring substantial bullish volume to overcome. Divergence appears between deeply oversold oscillators (KDJ/RSI) and persistent price declines, suggesting bearish momentum may override traditional reversal signals. The volume-confirmed breakdown below major MAs and Bollinger support favors continued downside, though a relief rally toward $385–$388 could materialize near-term before resuming the broader downtrend. Traders should monitor $374 support holds and reversal signals like a MACD bullish crossover or close above the 23.6% Fib for trend reassessment.