FWIW: I think the price action today was an opening to sell by the MMs and shorters, then walk the price down, forcing stops into action, with MMs buying to cover in the late AM. From there, a lot of upward churning the shares, with a strong finish with short sellers closing out the daytrade and the daytrade longs from $76 out in the high 80's.
My prediction is a strong opening, followed by another sell-off into Friday. From here, either sell not to be caught holding over the 3-day weekend, or buying, not to be out during the 3-day weekend. Tough call.
If you are long, you might as well buy some more anywhere in here. For shorts, I think the $76 low is all you get the rest of the year. My plan is to sell my June 100 Puts and go long with the June 100, 105, or 110 Calls based upon Friday's action. If DCLK were to close anywhere over 100-105 by Friday, I would be surprised, but not overly. We have been in a downtrend for a few weeks and the technical bottom is still below us.
Rob |
