Usually SPWR crashes a little after earnings because of big run up weeks before hand. This time it's actually going into this earnings trending flat/down...I prefer that.
Comments
WLiCPSC
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Have you taken any look as weekly bars? Bollinger is very tight. At this oversold-ish level if it wants to maintain its trend...
Audacity618
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I agree the weekly suggests major coiling, a lot of short positions over the last couple of months that kept price moving sideways. I think we'll break through that soon and move closer to 40. This company likes to sandbag their financials/guidance.
WLiCPSC
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Thanks for the reply. It's very true that this company usually posts crappy guidances beforehand and raises/beats it later. I also commend your insight and vision due to the strong trend today, and maybe later. I have a feel that it would get up to 37-38 area but not 40. It's a mixed opinion of whether it would touch 40 or not, with me on the pessimistic side. How do you think about it?
The short interest before the earnings was about 32% which is good enough to cut off for profit for those hedges. Lots of shorting was initiated due to the fall of indices, which however, has to make a final new high before the big bear comes. Before the bear comes, this thing must make its price high enough to maintain its trend. Theoretically it would be 45 but I never think that's possible. What's the top price in your mind?
Audacity618
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I don't actually have a top price in mind when I'm going to sell, but If you just use the daily MACD and RSI they've worked like magic since the beginning of 2013 (so easy a caveman could do it lol). I agree and don't think it will hit 40, but if it does then I'm sell sell sell, I think the stock is worth about 34-36 intrinsically.