Taking a new look at the charts, if the THIRD rectangle has to be drawn, the target would be 7.71! Not too many other support levels aside from the IPO debut around 8.75, and the all time low of 7.97. Let me just throw in the 150% Fib extension at 8.83 just so we don't all go freak out. (PS. That makes 8.80 area a confluence of support).
UPDATE: Just saw a support on the weekly chart!! 9.28. That's where it's bouncing off today.
Yeah I think there is some downside still, but as this Facebook hype comes back into the market I won't be thinking twice about putting my money here. BTW mentioned the downside quite some time ago here: http://www.capitaloverlook.com/2012/03/zynga-scares-me.html
ReplyDeleteAgreed your comments about share dilution on your blog (Endorsed one of your sponsors BTW.). There was no guarantee shares would go down between March and June, so at some point one needs to be in the game to catch the ride. Now we're at 9. Are you in?
DeleteI am very tempted, but I think I am going to wait until I see some positive price action confirmed by huge volume. I hate trying to catch a falling knife. I did that with the VXX at the beginning of the year and it cost me.
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