The bulls and the bears have taken their turns feasting on plant-based food maker
BYND
. First the bulls, then the bears … and now the bulls may be back.
BYND initially flew higher after its May 2019 IPO, ripping from $25 to over $220. It then fizzled out and crashed all the way back down into the $70s.
Buyers came back with an appetite in 2020 and drove it back over $100. The heavily-shorted stock soon formed a bullish flag and volatility began to fade. Back-to-back inside days occurred on February 5 and 6. That signaled its wild swings were calming down.
Technicians watch for this kind of pattern because breakouts usually follow price contractions. Since the initial move was higher, it created an opportunity for classic trend following to the upside.
The confirmation came the next session with a high-volume candle and BYND's highest close in February. That put some pressure on the bears and started squeezing the shares higher. Now they've got about two months until earnings to sweat it out.
BYND
. First the bulls, then the bears … and now the bulls may be back. BYND initially flew higher after its May 2019 IPO, ripping from $25 to over $220. It then fizzled out and crashed all the way back down into the $70s.
Buyers came back with an appetite in 2020 and drove it back over $100. The heavily-shorted stock soon formed a bullish flag and volatility began to fade. Back-to-back inside days occurred on February 5 and 6. That signaled its wild swings were calming down.
Technicians watch for this kind of pattern because breakouts usually follow price contractions. Since the initial move was higher, it created an opportunity for classic trend following to the upside.
The confirmation came the next session with a high-volume candle and BYND's highest close in February. That put some pressure on the bears and started squeezing the shares higher. Now they've got about two months until earnings to sweat it out.