Tandem Diabetes Care bottom end of 2019 followed by 7-10% bounce
Hi all, TNDM has some great news that is reflected in the stock concerning automated insulin pumps for diabetics recently approved by the FDA etc etc.
The technicals on this chart RSI and MACD / 20day MA seem to show the selling is not over for TNDM, but a bottom should be put in soon around 58.00 + or - 1% this should technically be followed by a bounce and consolidation into earnings call in late Feb
It seems like we could see a 7-10% + bounce from the $58 low being set in this week to at least $63 and after earnings call in Feb (if all goes as expected from news release and the market is healthy) at a test of the $70 highs by end of March - 20% up in 3 months probably take profits and also a easy stop loss at the level in which the low was set in and near the time stock is bought. If this strategy fails to materialize by middle of jan - bail.
Options actions would be interesting here if you want to play this bounce and earnings call by like March/ April Calls or into the quick money buy calls into the earnings call expiring like mid-Feb. And again could buy an in the money put when you purchase the calls to hedge etc etc etc - if I had more money to play with I would do this like a boss. I do not so I own the stock and will sell if clear lows are not put in by mid next week
The technicals on this chart RSI and MACD / 20day MA seem to show the selling is not over for TNDM, but a bottom should be put in soon around 58.00 + or - 1% this should technically be followed by a bounce and consolidation into earnings call in late Feb
It seems like we could see a 7-10% + bounce from the $58 low being set in this week to at least $63 and after earnings call in Feb (if all goes as expected from news release and the market is healthy) at a test of the $70 highs by end of March - 20% up in 3 months probably take profits and also a easy stop loss at the level in which the low was set in and near the time stock is bought. If this strategy fails to materialize by middle of jan - bail.
Options actions would be interesting here if you want to play this bounce and earnings call by like March/ April Calls or into the quick money buy calls into the earnings call expiring like mid-Feb. And again could buy an in the money put when you purchase the calls to hedge etc etc etc - if I had more money to play with I would do this like a boss. I do not so I own the stock and will sell if clear lows are not put in by mid next week
Comment:
This worked out tremendously