J. Alexander's dropped hard from 11.69 to 9.50 before its earnings report, but it got a huge positive surprise (200%), reporting a profit rather than a loss, and rallied back to 10.50. After a technical pullback to 10.00, I expect the stock to move higher again from here. The earnings surprise was so large that I think we'll see the stock head all the way back up to its pre-earnings volume node at 11.69. I've drawn some trend lines to watch for bullish trend line breaks. JAX has a 9/10 analyst summary score and has recently had several analyst upgrades.
Trade active:
I entered very near the bottom after the first trend line break. Am currently up about 2.5% on the trade. We broke the second trend line today.
Comment:
JAX has been weak lately, but it's working on another trend line break. If we close above the trend line today, I will increase the size of my position.
Comment:
JAX continues to struggle toward that second trend line, but we're making a rounding bottom in a support zone, so I'm pretty sure we'll get there eventually. Some news would help.