JOY caught my eye because of the inverted cup and handle formation - which Friday's gap down confirmed.
Initially I thought this could be a good near-term shorting opportunity because price had broken below $50 and recent support - and the measured move could've made this worth considering for a quick profit.
However, on closer inspection there are a series of support levels just a few dollars away and, in addition to this, earnings are due on 17th December - just two days away. This would probably not give me enough time to profit from even a short-term trade so I have to stand aside.
Although I suspect this is likely to go lower, that's not how I trade. I shall wait and see what happens after the earnings announcement.
Initially I thought this could be a good near-term shorting opportunity because price had broken below $50 and recent support - and the measured move could've made this worth considering for a quick profit.
However, on closer inspection there are a series of support levels just a few dollars away and, in addition to this, earnings are due on 17th December - just two days away. This would probably not give me enough time to profit from even a short-term trade so I have to stand aside.
Although I suspect this is likely to go lower, that's not how I trade. I shall wait and see what happens after the earnings announcement.