Tech Stock Due For Short-Term Rebound

Stock Performance - Hewlett Packard Enterprise (HPE) shares dropped 12.3% from Monday through Tuesday amid the global tech selloff [1] - HPE shares are up 2.5% today, trading at $21.99 [1] - HPE hit a record high of $24.66 on Jan 22 before this week's pullback [3] - HPE sports a 39% year-over-year lead [3] Technical Analysis - HPE is testing its 126-day moving average, a historically bullish trendline [1] - HPE has traded down to this trendline five times in the last three years after significant periods above it [2] - In the past, when HPE met these conditions, the stock was higher one month later 80% of the time with an average 6.7% gain [2] Options Market Activity - Puts have been more popular than usual in the options pits for HPE [3] - The stock's 50-day put/call volume ratio ranks higher than 96% of readings from the past year [3] - An unwinding of this pessimism could provide tailwinds for the stock [3]