Firstly, I don't really recommend shorting because the price is too low. The risk is too high. This idea is more of "if you are long, maybe you shouldn't hold on."
Secondly, take note that this analysis is only possible using logarithmic chart.
Thirdly, I drew out what I see as head-and-shoulders and there is already weakness shown in the neckline even BEFORE a symmetrical 250 days. This suggests to me that price is actually much weaker. One interesting note on this 250 days... the next earnings call is actually around that time period.
A graphical projection on the logarithmic chart shows that price should fall to around $0.540. If you try to see it on the normal chart, it will suggest $0, or bankruptcy.
However, that being said, the above is just technical analysis. A quick look on the financials, without deeper analysis on the business model, gives this company some rays of hope. But I am not a fundament analyst, so I wouldn't give any 2 cents to what I said in that aspect.
What could happen though, is that when the tide goes down, as I would expect a market crash to happen, all boats on the sea goes down with it. The company may not go bankrupt, but $0.54 is not impossible if a market crash happens.
Secondly, take note that this analysis is only possible using logarithmic chart.
Thirdly, I drew out what I see as head-and-shoulders and there is already weakness shown in the neckline even BEFORE a symmetrical 250 days. This suggests to me that price is actually much weaker. One interesting note on this 250 days... the next earnings call is actually around that time period.
A graphical projection on the logarithmic chart shows that price should fall to around $0.540. If you try to see it on the normal chart, it will suggest $0, or bankruptcy.
However, that being said, the above is just technical analysis. A quick look on the financials, without deeper analysis on the business model, gives this company some rays of hope. But I am not a fundament analyst, so I wouldn't give any 2 cents to what I said in that aspect.
What could happen though, is that when the tide goes down, as I would expect a market crash to happen, all boats on the sea goes down with it. The company may not go bankrupt, but $0.54 is not impossible if a market crash happens.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.