LULU has been a MONSTER this year! With Squeezes setting up on both a daily and four-hour chart makes me think it will be headed higher towards earnings which looks to be at the end of August. Depending on how it opens tomorrow (looking for a pullback) will ultimately decide how I play it. I'd like to sell an at the money put credit spread, but with the way it's ...
Like many stocks, the more they Gap up the more there is profit taking when the market opens.
LULU is no exception.
If we go all the way back to Dec 2016 earnings LULU was Gapping beyond what a bag holder could resist selling. I suppose this brought the bears in.
But if you look at LULU's latest earnings the Gaps have been below the 10% level and therefore had ...
This is an update of my old chart published more than a year ago (see related idea)
That call paid well and here is another chance to gain big.
It looks like sideways correction is coming to an end and another big drop is on the cards.
The wave C (blue) is already larger than wave A within a small wxy (white).
MACD shows Bearish Divergence.
Target is at the ...
LULU has broken an uptrend line going back to 2009.
The next support level is $45.
Here is a good write-up on Lululemon.
I favor buying dips, but I am waiting to see where this stock finds demand.
$51 BUY with $49.95 Stop and ST target bounce back to $54.50 resistance ant MT target $59.75. Fundamental investors will back up the truck at $46 (20x $2.30 EPS), which provides solid underpinning. LULU always gives conservative guidance, setting up for 2017 upside surprises for longer-term investors.
... for a .92 credit. Truth be told, I chased a bit. It announces earnings tomorrow after market close, but just wanted to get into play, since there isn't much premium out there to be sold, and I won't have time to putz with it tomorrow.
Here are the mid price metrics:
Probability of Profit: 61%
Max Profit: $94
Max Loss/Buying Power Effect: $206
Break Evens: ...
FUNDAMENTALLY: COMPELLING GROWTH AND EARNINGS PROFILE
LULU is a specialized sportswear company with superior growth (revenue CAGR +24%) and profitability (ROE >20%). The stock was recently hammered on earnings which were in line, probably due to a rich valuation. This provides an entry opportunity into the stock.
TECHNICALLY: STILL SOLID AFTER THE DIP, AND ...
$LULU has been one of the hottest stocks this year....until today. Their mixed guidance for next year is nothing to worry about. If you don't live in a cave you know every girl either wants or wears lulu. I know there are cheaper options, but lets be honest...they are a status symbol. As long as the stock holds $67, i think you pick some up.