Gap Close before Christmas??!!Will ebay close the gap from october 2016?? In my opinion it will. The question is when. :)
This is just an idea after going trough lots of US stock charts.
IDEA NOT ADVICE! :)
4EBAY trade ideas
EBAY- Earnings play- $31 October puts EBAY looks very bearish after a nice run. Price crossed below MA 50 & huge divergence in moneyflow.
It had quite a bit of selling in August at $30 level, and price to earning ratio is high at 18.9 . So we think it will decline with the earnings report.
For earnings play we would consider $31 October puts, last traded for $0.89
You can check our detailed analysis on EBAY in the trading room/ Executive summary link here-
www.screencast.com
Time Span: 22:30"
Trade Status: Pending
Trade suggestion date:
EBAY INC: Trend breaking or temporary dip?Ebay is currently breaking the trend lines shown. Expecting it to rise again due to high earnings expectations but caution advised as this does go quite a bit below expected trend.
ConsolidatetAfter the long spike 27th June till 25th July there has been a consolidation. Now we exceeded the consolidation zone upwards.
EBAY getting ready to break outEBAY is presently setting up in a flag with an advanced pivot right around 31.33. On the daily chart, a descending trend line can be drawn connecting the HOD from 7/27, 8/11, yesterday and today.
After a huge breakaway gap on earnings, it has quietly consolidated on light volume. Last week it caught support at the 21ema and has bounced off of it.
EBAY is leading the market as shown by its RS line continuing to move into new 52wk highs.
The trade that was huge to the upside.When the market is in 0 % interest rate environment the markets are in a bubble, tech companies have explosive moves when paired with market overall uptrend. We believe this move that has been huge to the upside will regress substantially.
EBAY trading rangeEBAY needs to stay above 29.25. Take out 31.5, 33.75 comes into play first, 36 next.
Max HeightEBAY is showing an upward trend. Placed a mark at the close for today, and the height potential for next week.
Sell Bias - waiting for a bounce back - #ProfitingMeHi ,
the EBAY price could bounce back giving an opportunity for a good sell trade.
Thank you
Girolamo Aloe
