Twitter (NYSE: TWTR) shares are on their way up to where experts are taking notice.
In every full calendar year since the social media company's initial public offering in November 2013, the stock has posted double-digit losses. This year, Twitter is up nearly 29% year to date, on pace for its best full year on record.
The stock posted gains in the first two months it was public, in late 2013.
The stock was down in Wednesday trading amid a broader tech sell-off. Still, some traders are optimistic about the technical picture.
On a weekly chart of Twitter, the stock has made a class double-bottom formation over the course of the last two years, said Craig Johnson, chief market technician at Piper Jaffray.
"The next resistance for this stock is going to be about $25. That's the level that we need to watch. A break through $25 is going to set this stock up for a whole other leg higher, and we should be buying it based on this double-bottom pattern setting up here right now. So, I'd be a buying of this stock here, definitely for a trade up to $25, and then look for a stronger move after $25," Johnson told the media Tuesday.
Experts say Facebook (NASDAQ: FB) has not been able to deter users from Twitter in the way it has from Snap’s (NYSE: SNAP) social media platform, Snapchat. Still, they say, Twitter's business model has not been successfully monetized.
Twitter shares began Thursday up 21 cents, or 1%, to $21.00
