CPRT Gaps
Updated
Guessing this closes one gap or another after earnings. I'm guessing down, P/E ratio of 28 is way too high for an auto auctioneer, Carmax (CMX) already ate **it, pattern is identical.
Note
No big surprises in earnings, it's basically the same as last quarter, no growth. Up $2 AH, but the bid is below closing price. Keep in mind KMX gapped up on earnings before it tanked. Not sure I see a compelling reason for this to move in either direction, other than overvaluation based on P/E ratio. KMX is at 15, this thing is over 20. Neither are growing at this point.
This will close the gap at $36, but it may take a while.
Note
Forming an intraday pennant, will hit 51 if it breaks out of it or close the gap below. Still think this is overpriced, but won;t close either gap any time soon.Trade closed manually
Now trading step for step with the S&P, might as well buy SPY options whether it's calls or puts. Done tracking this one, unless it shows up on 52 week high list.Note
This is going down, but as I suspected, SPY puts were a better deal. 5k daytrade profit on 10 SPY contracts, can't beat that.
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