Gavekal Capital: Teradata Breaks Down

Tuesday, October 15, 2013

Teradata Breaks Down

One of the tech high flyers the last few years has been Teradata, who sells software to cloud data centers. Today the target price was cut from $75 to $45 and the stocks is down almost 17%, making it the worst performer in the tech sector.

This drop will accelerate the downtrend that has been in place since last year. Using our relative strength point and figure charts, we can see the prolonged period of underperformance. Today's breakdown will be another waterfall decline, taking the stock back toward historic support from 2011.

About Gavekal Capital

Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
We offer the Gavekal Knowledge Leaders Strategy in multiple products for global investors. For more information about our product offerings please visit http://www.gavekalcapital.com.
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