I wrote crazy run FROM the 30's not TO the 30's. In other words I bought in the 20's because I thought it was a good long term value. The stock went into the 30's which I thought was fair. But all of a sudden next thing I know it rockets from like $38 to $50 in a week - didnt make sense, so I sold. I expected a quick retreat but it didnt go backwards. Once the pre-announcement came and the stock didnt get killed I decided to short it.
If there are any technical chart traders out there, it appears that WebMD has formed a reverse head and shoulder pattern during the period of Jan. 2014 through March 5, 2014. If I am correct, this is a bullish trading pattern. It is also being confirmed by good volume during the first hour of trading today. Can anyone confirm this for us?
"I was long in the $20's - it was too low at that time. But the crazy run from the $30's had no explanation. I will get long again eventually"
Crazy run to $30's but sold in high $40's?? Tough to believe. But all the power to your excellent trading skills. I will never be that good.
I started buying in the 20"s and sold out in the high $40's - can only be so greedy / lucky. Once the stock went into the $50's I started to short - no reason not to. Will short again on any price over $45, most likely. Just depends on how much time I want to spend on WBMD when the market is full of good buys.
You are right. It is about timing. You must sold in 20's and 30's. I held and bought in low 30's. The stock price is @ $44!!!! But we do not know the future. It might in 50's or 30's ?
was a completely different situation and environment back then. new CEO, new product strategy mix, positive earnings flow. seems like its not going back there to me.
I was long in the $20's - it was too low at that time. But the crazy run from the $30's had no explanation. I will get long again eventually. Like anything else in life, it is all about the timing. Getting in at these levels just means a potentially longer wait before you make real $$.
I dont see any correlation to turning green today with any improved sentiment for WebMD at these levels. Stock still has +20% short interest. I suspect given the huge upswing in the broader market some shorts covered to take advantage of the downgrade early but then got caught in a mini-squeeze. Stock still down 3% last 5 days I would short again at $45. Dont see this holding.
Talk about sneaky - check out the bonuses management handed themselves including $100K to a guy who doesnt even work at the company!
WBMD is in a dominant position - they have no competitors other than Google who doesnt even try and rakes in big ad $$ from health. That said, the media model has limited shelf life and the stock is just way too expensive. There is no reason to own it at these levels unless you have insider information.
Talk about crooked - how does Cameron get a $100K bonus? What does this guy do? He never even steps into the office - these guys are crooks. Too bad the shareholders dont care....compensation committee - ha! Who staffs it - Wygods golf buddies or jockey?
Stifel's downgrade dramatically increased WebMD liquidity today!! When a stock has only 40 million shares of float and 36 million is controlled by Institutions and Insiders. How does a large position get executed when there is not ample liquidity? The big player needs a catalyst for increased liquidity. Today, Stifel provided the catalyst. Their rating change was based on information from one week of data without explaining the rest of the markets activity during that week. The information may have been accurate but it lacked additional color!
Why would the stock trade up? For exactly this reason, one week in isolation does not indicate a trend.
The power broker that needed help, got it!
MONEY begets POWER, POWER begets INFLUENCE, INFLUENCE begets FAVORABLE ACTIONS, FAVORABLE ACTIONS begets MORE MONEY. Is that what is going on today with WebMD?? I can't explain today's activity !
its ridiculous,but it validates my call buying 44.02 as i post
As I said earlier this morning, my friend always used the downdraft from a downgrade to buy or cover. He was a Wall Street guy and said there was always the hidden agenda behind the real reason for the ratings change. It was not always what you think. However, it was over 15 years ago!!
I have to say it .... Is this another down grade for the shorts to cover? If it is, it sucks. But it is good since it will be better for PPS in long haul!
The bull was limping this morning, snorting his dissatisfaction with WebMD, and then at 1:15pm the limping bull began to gallop. Hope he steps on the heads of the remaining shorts.