SHOP turned from bearish to bullish and broke above and held above its moving averages on a breakaway gap. This may be the first leg up to test the $840 area. It gapped up on higher relative volume. Had to switch my original thesis from a short to now a long play
Listened to the CEO's interview this last week and he seems optimistic that SHOP sellers are adapting to the pandemic and will come out ahead. Says RETAIL sales fell off a cliff but have seen a slight uptick. Sounded confident could weather the storm like 2008.
When this thing runs, LOOKOUT
Stock has been in consolidation for several weeks as the market ripped higher on post covid optimism.
That wishful sentiment looks like reversing as China and some Sates with the USA see a spike in cases post the reopening process.
Todays Upgrade
SHOP Piper Sandler analyst Brent Bracelin upgraded Shopify to Overweight from Neutral with a price target of...
SHOP has made a lower high and has remounted beneath that high, showing bearishness. I believe it will follow through on the bearishness and will make a lower low as well with a target of $660.
Break of blue line ($705) would complete a h&s imo. If so, target is pink line ($585) with some hesitation at black line ($660). Option prices are stupid expensive on this thing so not sure how I'll play it yet.
Since the economy reopening, SHOP has been on a downward trend. Long term view, I'm bullish on this innovative company. I am waiting for a good price to buy in the 600s range. Let's wait for price action.
Yall really grinding out the salt on $SHOP based on valuation. OK.
Price action has pretty consistently lined up with fib extensions from the late-2019 range.
Massive gap up on earnings straight into the COVID selloff - where would it be if not for that? Well, probably right where it is today.
RSI(14) did not go oversold at the depths of the selloff, and did...
