GST,
Here is my model. I have stated it before. But I will bore you with it once more.
This is the script.
Blodgett re-its.
Meeker re-its.
amzn issues loss warning.
Analysts say its OK. Revenue is the important number.
Company make some silly announcement.
Stock runs to the sky.
When was the last time you saw this script enacted? When was the time before that?
A few days ago, I outlined to you this script (before the replay.) How did I know ? I saw the movie in Dec and Jan.
So, since I had the script, there was no need to panic. If they had done something unexpected, then there would be cause to worry.
A couple of days ago, I posted to you that 130 to 140 was not likely. Why ? Well, it is a repeat, and people have seen the script already.
Blodgett took it up only 12 pts. (to 102). Last time it went from 240 to 300.
Next day rally stalled and it closed at 106.
Meeker did her thing, but only took it to 115.
The new line of products took it to 122, but sanity set in, and it dropped to 111.
The equivalent (Reno warehouse) had taken it to 600 before sanity set in.
So you can see the sheep are jumping on que, just not as high.
You can see the depth of commitment to the stock by how quickly the buyers dumped it.
As Jan said many times, amzn is just day traders and short covering. |
