The 80-day moving average has been a bullish signal for the stock in the past
Intuit Inc. (NASDAQ:INTU) stock is enjoying some of the broadmarket tailwinds this afternoon, last seen up 1% at $439.69. The equity is slowly rising off its pullback to one-month lows in early September, and there's reason to believe this steady climb could continue, as this selloff put the security back within striking distance of a historically bullish trendline on the charts.
According to a study from Schaeffer's Senior Quantitative Analyst Rocky White, INTU just came within one standard deviation of its 80-day moving average after a lengthy period above the trendline. In the past three years, there have been eight similar pullbacks, with 75% of one-month returns being positive. During this time period, the stock averaged a 3.5% pop. A similar move from its current perch would put INTU just above the $455 level.
Sentiment surrounding the security has already been quite bullish. The equity's Schaeffer's put/call open interest ratio (SOIR) of 0.73 stands above just 31% of readings from the past year, implying short-term options traders are more call-biased than usual.
Meanwhile, all but one of the 16 analysts in coverage call INTU a "strong buy." Plus, its 12 month consensus price target of $555.63 is a 26.3% premium to current levels.
It's also worth noting that Intuit stock's Schaeffer's Volatility Scorecard (SVS) stands at 88 out of 100. This means the equity has tended to perform options players volatility expectations.