Account

New to ADSS? Open an
account now to get started.

OR

Already have an account?

Add funds to your ADSS account

Account

New to ADSS? Open an
account now to get started.

Add funds to your ADSS account

Trends & Analysis
News

Gold surges amid US-Iran deal prospects

News

Dow hits record closing high on US-Iran peace deal hopes

News

Nvidia’s stock dips despite Q1 beat, strong forecast

News

CAD falls versus USD following inflation data

News

Gold rises as Trump postpones Iran attack

News

Crude oil surges amid stalled US-Iran peace talks

Trends & Analysis
News

Gold surges amid US-Iran deal prospects

News

Dow hits record closing high on US-Iran peace deal hopes

News

Nvidia’s stock dips despite Q1 beat, strong forecast

News

CAD falls versus USD following inflation data

News

Gold rises as Trump postpones Iran attack

News

Crude oil surges amid stalled US-Iran peace talks

Breadcrumb navigation close

Asset Watch

A healthy correction for Shopify?

Thursday, February 15, 2024

Investors staged a buyer’s strike on Feb. 13, as a hotter-than-expected U.S. inflation print deflated risk assets. And with Shopify slumping by more than 13%, solid earnings weren’t enough to outweigh the pessimism.
However, while management’s warnings of higher marketing and employee compensation costs spooked the bulls, Jefferies analyst Samad Samana said the tepid guidance lowers the bar for next quarter.
“When you think about the forward expectations, you almost can’t judge them for not being perfect there because they have this pattern of being conservative,” he said. “They’re almost setting us up for another round of better-than-expected results.”

Though earnings sell-offs typically last two or three days, a buying opportunity could still arise when the dust settles.

Shopify’s July 2023 highs and January 2024 lows are near $71, and both could act as support if the pullback continues. Likewise, the 100-day moving average was a key support level in late 2022 and early 2023, and it resides near $68. If Shopify takes out the February 2024 lows near $76, the bulls may look to re-enter in the $68 to $71 range.

Rising U.S. Treasury yields amplified the negativity on Feb. 13, and the last time long-term interest rates rose dramatically, stocks performed poorly. Consequently, if yields continue their ascent, Shopify may have further to fall before the risk-reward becomes favourable.

So, will $76 hold, or does Shopify’s correction have more room to run?


© ADSS 2026


Investing in CFDs involves a high degree of risk that you will lose your money due to the use of leverage, particularly in fast moving markets, where a relatively small movement in the price can lead to a proportionately larger movement in the value of your investment. This can result in loses that exceed the funds in your account. You should consider whether you understand how CFDs work and you should seek independent advice if necessary.

ADS Securities L.L.C – S.P.C (“ADSS”), a limited liability company – sole proprietorship company incorporated under United Arab Emirates law. Registered under Commercial License No.1190047. ADS Securities L.L.C S.P.C is regulated and authorised in the UAE by the Capital Market Authority (CMA) under Category 1 License No.305027 (Trading Broker, Trading and Clearing Broker, Trading Broker in the International Markets, Trading Broker of OTC Derivatives and Currencies in the Spot Market, Financial Products Dealer) and Category 5 License No.20200000217 (Introduction). Registered Office: 8th Floor, CI Tower, Corniche Road, P.O. Box 93894, Abu Dhabi, United Arab Emirates.

The information presented is not directed at residents of any particular country outside the United Arab Emirates and is not intended for distribution to, or use by, any person in any country where the distribution or use is contrary to local law or regulation.

ADSS is an execution only service provider and does not provide advice. ADSS may publish general market commentary from time to time. Where it does, the material published does not constitute advice, or a solicitation, or a recommendation to a transaction in any financial instrument. ADSS accepts no responsibility for any use of the content presented and any consequences of that use. No representation or warranty is given as to the completeness of this information. Anyone acting on the information provided does so at their own risk.