Conviction: 4/5
Entry is not idea, could have better entry point if price goes down to retest support.
Main thesis
Misc Info
Potential Risks
Entry is not idea, could have better entry point if price goes down to retest support.
Main thesis
- Bounced off long-term (1991) channel bottom in December
- Bounced off 50M-MAas well
- RSI-M also bounced off historical lows, although not levels with highest certainty
- Confirmed breakthrough from downward resistance line last week
- Touching lower bound of channel (2016)
Misc Info
- P/S level of 3ish is high relative to historical levels, however much lower than some other tech companies...
- P/S level of 3 is about the same as S&P 500
- Healthcare (
XLV
) looks good compared to
SPY
, could carry this up as well
Potential Risks
- RSI-W is heating up, although does not preclude from uptrend in medium term (about a year)
- Just broke through (with confirmed close) last week from downtrend resistance line
- Quick ratio is deteriorating from mid 2021
- General markets are very expensive, and we all know correlation goes to 1 in selloff.
- Revenue growth is negative ... likely as people become less sensitive to COVID?