No earnings run up suprised me but I can understand weakness in a weak market.
However, the degree of underperformance was just too much.
Although I do still believe longer term, this stock will be a winner, getting over 200. Near term is very tough for it move higher.
I would not risk too much going long into earnings. The stock just does not "act" right. It can still change in the next day or two but I am not that optimistic at this point.
Thanks Paul. I couldn't agree more. It does work best in a bear market and on individual stocks. PS - and promise not to tell anyone - but - crm is an INDIVIDUAL stock and we're in a BEAR market.
Foxy, I know you're trying to "educate" the longs, but I believe they're not close to being in the correct frame of mind to 'get it' . Here's the question for you - At what price do you think the "longs" will 'suddenly' figure out - "it's time to get out; this stock is going down". I'm going to personally guess (as always , based on the charts), at $42-$43. And coincidently, we should actually get a rally at that point in crm to around $70- $72 (and you and I and other shorts who took profit at $43 can reshort at $70). What's your guess as to when the longs will "get nervous and sell" ?
I don't have an answer to your question. I can't even tell which (if any) of the professed longs are authentic. While a bounce to the 70-72 range after dropping to the 42-43 area would be nice, those wishing to re-short then would be competing with the massive short positions money managers might take when CRM makes a new low, undercutting the 93-95 price range of the November, 2011 low. Notice how price reports recently have been about the 2012 calendar year prices and not about the 12 month highs and lows?