Hello everyone. It's been a while since I published idea of Chewy. The disappointed Q2 earning and Q3 forecast undermined the bullish momentum. It didn't hit the $120 original target, instead it broke $77, the key 61.8% fib retracement with a quick retest and fell all the way down to the previous low of $64.
On the weekly chart, it's around the range bottom which is supposed to be a reversal level if buyers continue to jump in.
On the daily chart, we can clearly see that the red downtrend line has been respected for quite a while. The recent bullish formation is a good start, however the bullish trend has not yet been established. I'm expecting a double try in the next 3-5 days. By then, it could be a good place to load.
By the way, Chewy has dropped by more than 30% since the Q2 earning report? Do you think the valuation become attractive?
Give me a like if you think this post is useful. Thanks for your support.
On the weekly chart, it's around the range bottom which is supposed to be a reversal level if buyers continue to jump in.
On the daily chart, we can clearly see that the red downtrend line has been respected for quite a while. The recent bullish formation is a good start, however the bullish trend has not yet been established. I'm expecting a double try in the next 3-5 days. By then, it could be a good place to load.
By the way, Chewy has dropped by more than 30% since the Q2 earning report? Do you think the valuation become attractive?
Give me a like if you think this post is useful. Thanks for your support.
Comment:
The range bottom has been violated. The downtrend line has been well respected. Buyers need to be patient for more solid signals. I will keep my eyes on it.
plan your trade and trade your plan
