Palantir long according to MFI
I wanted to get this out there quickly, as I think it's going to bounce fast up. Money FLow index bigtime divergence on 30m bars. Tight stop just under $18 at like $17.80, because there is a descending triangle that has also formed on a longer timeframe and it's a very bearish and it scares me. Tight stops to protect yourself. This is either the bottom or the start of another leg down.
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Here is the link to the descending triangle I was referring to, on the daily bars.
As you can see from the prior time this happened, the descending triangle is a bearish pattern that indicates the sellers are becoming more aggressive, and the buyers arent. If the volume doesn't start to show a little more urgency I don't think it'll hold the line. It takes a lot of energy (volume) to change a trend and if it continues to be bleah then it'll likely fall back. Like I said, tight stop at like $17.80 or lower if you're longer term, as this thing will definitely bounce back strong sooner or later.
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By the way, it's noteworthy to add that CEO Alex Karp appears to have offloaded all the share options he had. Over 20,000,000 alone since June. In fact, all insider selling has stopped the past month. This should significantly reduce the selling pressure. I'm betting on this fact bigtime, in addition to the other factors I have mentioned in my numerous PLTR posts.
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I'm still in the trade just because I am a long term investor, but at the current price of $16.70 PLTR has pushed down through support and will likely wind up in the $15 range before getting a re-evaluation. The descending triangle is a very powerful pattern and it was right again.
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I'm still in the trade, although I am not at all certain it's the smart thing at the moment. They are at like $12.70 at the moment, and while there are some good things going on in their charts there is very little standing in the way of where they are at now and below $10. I am hanging onto it because I believe this stock will benefit greatly from an inevitable short squeeze. When will it happen? Best chance short term is on Earnings release in february.