SMCI: If this is a fake spike, it should end soon.

holeyprofit Updated   
BATS:SMCI   Super Micro Computer, Inc.
SMCI has recently made a huge spike over the 4.23. The 4.23 is often a good resistance level and prices can retrace as deep as the 1.27 if they make a top there.

Trading would be much easier if not for the spike outs, but spike outs do exist.

In a spike out we should expect the strongest action of the move and it seeming impossible this won't go higher.

Spike outs of 4.23 usually have an upper range of about 25% above the resistance level. This is now met.

If we're in a spike out - an obvious rejection should come next.
SMCI is selling very quickly today.
Stops on shorts to 936.

Still think we trade at least 800. Maybe 650 in this leg down.

850 time of writing.
820 or so is the biggest chance of a low in the near future (850 now). If and when we get there I'll trail stops tight.

But if that breaks I expect a good chunk more down. Will not exit unless price makes a break of the local downtrend.

660 very viable target if 820 fails.
Stops trailed.



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