Synopsys Triggers MACD Death Cross, RSI Overbought, KDJ Death Cross in 15min Chart.

Tuesday, Aug 26, 2025 3:57 pm ET1min read

Synopsys's 15-minute chart has triggered a MACD Death Cross, RSI Overbought, and KDJ Death Cross at 08:45 on August 26, 2025. This suggests that the stock price has the potential to continue falling, as it has risen too rapidly and exceeds the fundamental support level. Furthermore, the momentum of the stock price is shifting towards the downside, which could lead to a further decrease in the stock price.

Synopsys (SNPS) encountered significant technical weakness on its 15-minute chart as of August 26, 2025, at 08:45. The MACD indicator triggered a Death Cross, the RSI Overbought condition, and the KDJ Death Cross, suggesting a potential reversal in the stock's trend. These technical indicators, combined with the narrowing Bollinger Bands, indicate a bearish outlook and a possible continuation of the downward trend [1].

Synopsys has been under pressure due to U.S. export curbs, which have forced the company to halt sales and services in China. This move, aimed at complying with new restrictions, could weigh on the company's short-term revenue and market share in the region [2]. Despite strong fundamentals, such as a 21.51% net profit margin (NPM) and a 751.63% interest coverage ratio, the recent price decline of -2.85% does not align with these robust financial metrics [2].

Analysts remain divided in their outlook for Synopsys, with ratings ranging from "Strong Buy" to "Underperform." The simple average rating stands at 4.50, while the performance-weighted rating is 2.72, reflecting the gap between analyst optimism and market sentiment [2]. The stock's fund-flow score of 7.62 indicates "good" capital movement, but the negative inflow ratios for small and medium investors suggest a cautious market environment [2].

Technically, Synopsys faces a weak outlook, with a score of 2.97 (internal diagnostic score, 0-10). The MACD Death Cross is a strong bearish signal, while the Williams %R Overbought indicates a neutral rise with mixed historical returns [2]. The overall momentum is weak, and the market appears relatively calm, with no strong catalysts to drive a reversal.

In conclusion, Synopsys' stock price continues to face downward pressure due to technical weaknesses and U.S. export curbs. Investors should closely monitor the company's financial performance and market conditions to make informed decisions. While the fundamentals remain strong, the recent price decline and mixed analyst ratings suggest caution. It may be prudent to avoid Synopsys in the short term, and investors should consider waiting for a clearer trend or an earnings update that could drive a turnaround in sentiment.

References:
[1] https://www.ainvest.com/news/synopsys-15min-chart-triggers-macd-death-cross-bollinger-bands-narrowing-2508/
[2] https://www.ainvest.com/news/stock-analysis-synopsys-outlook-navigating-weak-technical-backdrop-strong-fundamentals-2508/

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