With new competitors entering the lucrative surgical robotics theater plus tightening reimbursements from health insurance, Obamacare, and Medicare, margins are being squeezed for Intuitive Surgical. Conditions look bleak until at least 2016. My target for this stock is a mean of 275 with a standard deviation +- 40. Notice the flag made between April and July on the chart. This is a great time to short this stock. For those looking at 30 minute charts, you will notice a gap from 375 to 400. This is a breakaway gap on high volume that does not have to be filled. Short this stock on any hesitation of the current upward movement.
Personally I feel that this is a bit of an ugly chart to trade
EliteTrader101
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Not sure if it will reach 440, but it should fill the gap. It has a strong seasonal in June to July, google it. The levels are pretty clear as it fell, hit bottom and started rising. Its been accepting this higher level for so long as many traders tried shorting it, but it refuses to fall. Thanks for highlighting this opportunity even though its in the opposite direction!
After reading this I think you might reconsider 440 as being a realistic value area; I believe 275 is more realistic on a fundamental basis. You might well be right. After all disagreement is what makes a market!
EliteTrader101
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Looks like it's heading back up to 420 to 440 after grabbing these stops. Price is accepting higher levels so it should rise. The high volume bar at 439 area will be resistance. 440 is the value area and the drop was equal to the rise from that level, so we should be heading back to value.