It’s overextended and overbought. While I am not calling for a major collapse in the stock here, a mean-reversion move lower to the tune of 5% or so should not be too much to ask for.
Up 75% year-to-date, a recent retracement has given it a much needed reprieve. From a momentum perspective, it’s notably oversold and the stock now looks ready to rally.
It’s now dangerously overbought in the near-term with a well-defined downside target.
On the charts, it’s reached a notable area of technical support where a tradeable bounce is likely to occur.
It’s parabolic rise is opening up a shorting opportunity for traders.
After the company’s latest earnings report, the technical damage on the stock begs for more downside.
Although it’s a crowd favorite, barring any outstanding fresh news either from an economic perspective or from within its industry, it should remain range-bound.
It’s been in a down-trend since 2018 and the latest dive has it severely oversold, meaning a relief-bounce could be in the cards.
Over the past few weeks, it’s reached the lower end of a strong trend, which offers traders and investors a chance to enter this trend.
The company has seen wild swings all of 2019 and after its recent earnings report, it could slide further in the coming weeks.