On Thursday morning, before the market opened, shares of Twitter (TWTR) sold-off hard on weaker than expected fourth quarter results. The social media company announced adjusted earnings per share loss of 16 cents on $717 million in revenue while analysts were looking for 12 cents per share 739.7 million in revenue.

The company also announced guidance for first quarter of 2017 with a range between $125 to $135 million while analysts were looking for around $189.1 million. Twitter stock price is currently trading just below $17 per share after closing Wednesday at $18.72, marking a 9.7% drop in value.

TWTR Technicals

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Shares are down big following their disappointing earnings results with shares currently trading at $16.80 but we should see some support at $16.25 and $16 while some important resistance levels will be at $17 and the 200-day moving average currently at $17.58.

Look for shares to be more volatile than normal and if you’re planning to trade it make sure to use hard stops for protection. With this big of a move it will be on plenty of traders radars so there should be plenty of trading opportunities over the coming days. Currently analysts have an average price target of $16.17.

CEO Comments

“2016 was a transformative year as we reset and focused on why people use Twitter: it’s the fastest way to see what’s happening and what everyone’s talking about,” said Jack Dorsey, Twitter’s CEO. “We overcame the toughest challenge for any consumer service at scale by reversing declining audience trends and re-accelerating usage. As a result, in the fourth quarter, daily active usage accelerated for the third consecutive quarter, and we see this strong growth continuing. While revenue growth continues to lag audience growth, we are applying the same focused approach that drove audience growth to our revenue product portfolio, focusing on our strengths and the real-time nature of our service. This will take time, but we’re moving fast to show results.”