thecoreinvestor

CMG is not doing well...

Short
NYSE:CMG   Chipotle Mexican Grill, Inc
CMG

Core APP:
Investor Confidence Level: 60%
Reason: Relatively Big Company from 1993, 2198 Restaurants, Sharp drop in 2016 EPS
Negative EPS , the company is unable to sustain it's growth,
--------------LEGAL ISSUES!--------------

https://www.benzinga.com/news/16/02/6233...

Fair Value: N/A

TA:
Mid May 2017, the company is facing big issues.
Looking at $269 at Support, and Resistance at $340
Next Support $251
Holding Period: 3 months
Potential Gain: $71
From past earning, we see a sharp fall on earnings date, may consider short sell for experience trader.

*For beginners, please don't touch.* SKIP!

RSI: Within Range of 40 , no strong signal
Stochastic Full: Within Range btw 25 & 50, no strong signal

EMA 20,50: short term uptrend
EMA 200: long term downtrend
Volume of trade: Normal

*Don't buy into a long term down trend* ~ One of the golden rules of investing....

Market Sentimental: Consolidation (Investors are confused)
Reason: Bad events, Hygiene issues, E. coli outbreaks, CMG has not been able to get customers back to its restaurants

*Not a recommendation to buy or sell, case study only.*

Options available
DYODD

https://investorplace.com/2015/12/happen...