I must say I am perplexed as to why it has dropped so low after the earnings report without a bounce due to being oversold. Lowering guidance slightly should not have that big of an impact. Cash burn seems to be an issue but lots of cash in receivables and once collected that solves the cash issue??
"OnePoint" posted this below earlier this month, not sure how it may still apply to today's price but it seems to be the "f" he was looking for as a buy. Would be interested in hearing his take on this. Seems this stock can fall to $6-$7 range soon and if nest earnings report is not good what next the $3-$5 range??
Here's what would be a really sweet buy:
Looking at a daily you see the high of Aug 13th at 16.75.
It pushed a lower low on Aug 16th; that is "a".
Then is printed higher lows for a couple days.
Then is pushed a lower low on Aug 24th; that is "b".
Then higher lows again.
Then a lower low on Sept 7th; that is "c".
Then higher lows.
Then a lower low on Sept 13th; that is "d".
Then higher lows.
Now it is pushing new lower lows and once it puts in a higher low I can label "e".
What I'd like to see is an "f" for a buy. So, tomorrow if it can print a higher low, than today, then today's low will be "e". Then, day after tomorrow or later, if it can put in that final lower low at around $8 on low volume that would be "f". A sweet buy.
On the daily chart it has printed F at the low of Nov 13th at 8.27. It then printed two higher lows and is now printing lower lows 8.14, 8.11, 8.06. So far then, 8.06 is "G". If it prints a higher low tomorrow than 8.06 would definitely be the G point. It could certainly bounce off this level.
But if it puts in a higher low followed by a lower low then G would be renamed to C (a restart C) and the next lower low after higher low/s would be a D; which has a high probability of bouncing.
It's just sliding along the top of the support line of the long term downtrend channel and it feels like it's dying by a thousand cuts. But it's holding the top side of that channel-support line and it did hold the Weekly S1 level again today and the volume is light.
We have a long series of clustered closes now which should lead to an explosive move one way or the other. If the shorts were in control, or there is some short conspiracy as some theorize, they could have whacked it today on this light volume. BUT they didn't. So today was NOT bearish. Also, it closed above yesterday's higher volume low.....so I hope to see a retest of yesterday's high at $8.60 in the next day or so.