ServiceNow Inc (NYSE:NOW) shares are up on Monday, snapping back from recent lows despite ongoing weakness across the broader tech sector. Here’s what you need to know.
- ServiceNow shares are powering higher. Why is NOW stock surging?
NOW Trend Still Under Pressure Despite Today's Bounce
Even with today's rebound, the chart remains under pressure. Shares are still trading well below key moving averages — about 7% under the 20‑day and more than 23% below the 100‑day — keeping the intermediate trend pointed lower. The stock has fallen nearly 34% over the past year and continues to sit much closer to its 52‑week low than its high.
The 50‑day moving average also remains below the 200‑day following last August's death cross, a bearish pattern that often weighs on rallies until the stock can reclaim major trend lines. With the Feb. 9 low still fresh, the current move looks more like an attempt to carve out a base than a confirmed shift in trend.
NOW Outperforms Tech Sector
RSI is sitting at 32.6, hovering just above oversold territory and hinting that selling pressure may be easing. MACD remains negative and below its signal line, keeping momentum tilted to the downside. Together, the indicators paint a mixed picture: not deeply oversold enough to guarantee a strong rebound, but washed‑out enough to support a short‑term relief move.
The first major test for the stock sits near $111, an area where sellers have stepped in before and where prior buyers may look to exit. On the downside, $99 remains the critical support level near the recent 52‑week low.
ServiceNow is dramatically outperforming the tech sector today, rising more than 6% while the XLK ETF is down over 1%. That's a notable divergence given that Technology has been the weakest sector over the past month and quarter.
The strength suggests some selective institutional buying, though the stock's ability to hold above the $99 support zone will determine whether this bounce has staying power. Without broader sector support, individual rallies can fade quickly if selling pressure returns to the group.
NOW Price Action: ServiceNow shares were up 4.11% at $103.50 at the time of publication on Monday, according to Benzinga Pro.
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