I am always neutral on a company unless the charts state otherwise.
Several weeks ago I stated that the chart formation suggested that the stock would fall down to the 4.58 level. Based on the recent double low at 6.10, the chart suggested that on a short-term chart basis, the stock would bounce up to the 6.93-6.97 level and that is what the stock has been doing. Should the stock close above 6.93-6.97 then the chart objective would change. Nonetheless, so far the only thing that has changed is the "short-term" objective of the stock heading up to 6.93-6.97 but not the longer term objective of 4.58.
If the stock closes above 6.97, I will revise the longer term outlook.
"Not wise to be short anymore"
Why? Because YOU are dreaming about the possibility of a huge company collaborating with a small and insignificant company? and that they will announce it on Monday before the Deutche Conference? Why now? what catalyst is there for TSLA to even consider doing such a thing at this time? KNDI is but a tiny blip on the radar with a bad reputation and it looks more like a minnow with Eboli than a fish worthy of going after. TSLA has absolutely nothing to gain from such "collaboration". It is like saying that AMZN is going to collaborate with Joe Smith corner store (a Mom & Pop operation) to sell to all of the U.S..
Give me a break, mentioning such a dream is pure fantasy and if you think anyone will "act" on that premise, you are hallucinating to the point that you should consider turning yourself in to the closest mental institution.
How on earth does Yahoo allow these kinds of posts? These message boards should be for serious investors, not little kids "playing" on an kids investors board game.
The stock got up to 6.90 and that does fulfill the technical objective of 6.93-6.97 off of the bounce from the double low at 6.11/6.10.
Now it is all about whether the bulls have any strength or not. With the indexes having broken down today, the probabilities favor the bears. The bulls need to generate a daily close above 6.97 to bring in additional new buying. Unfortunately for the bulls, not only are the indexes heading lower but the stock is having a negative reversal day (higher high and lower low than yesterday) and if the stock closes in the red, especially if it closes below yesterday's low at 6.45, it will be a negative signal.
A drop back down to 6.10/6.11 would strongly suggest a break of that level will occur and further downside,probably down to $5 would likely occur.
KNDI Industry Comparison:
Vs. Auto Components
KNDI Industry Average Percentile
Market Capitalization $303.79M $2.74B 53rd
Total Return (1 Year Annualized)
AS OF 05/16/2016 -30.23 12.67 --
Beta (1 Year Annualized) 2.22 1.71 91st
AS OF 12/31/2015 $0.31 $3.42 44th
Current Consensus EPS Estimate -- -- --
(TTM vs. Prior TTM) +24.00% -3.20% 66th
AS OF 05/16/2016 20.55 15.27 73rd
Dividend Yield (Annualized) -- -- --
Total Revenue (TTM)
AS OF 12/31/2015 $201.07M $23.38B 39th
(TTM vs Prior TTM) +18.12% -1.77% 88th
Shares Outstanding 47,690,000 443,398,752 53rd
5.48M -- --
Institutional Ownership 4.24% 54.45% 23rd
Above are the numbers for KNDI. To note, it is the 53rd company in the auto industry with capitalization of $303 million compare to the industry average of $2.74 billion. In addition, it presently has a PE of 20.55 versus 15.27 for the industry. It is also showing a 24% growth compared to the industry growth at -3.2%, which means that in many ways the company is presently overvalued and not deserving of the present price. Simply stated, the $6.50 price is mostly future speculation.
Any by the way, Fidelity is a good company but it is more about money management than about stock recommendations. In fact, I don't ever remember anyone quoting Fidelity on upgrades.
The rally today above yesterday's high has made yesterday's low at 6.11 into a double low with the 6.10 low seen on February 11th, meaning that the short-term bull traders are likely to jump on this chance to make a fast buck.
The stock is likely to rally back up to the 6.93-6.97 level off of this but that level is a big key as to whether this double low will stimulate a resurgence in real buying interest or just a fast buck.
As such, keep an eye on the 6.93-6.97 level based on a daily closing basis. If the stock rallies to that level (now likely) but the bulls fail to close above that level and the stock starts to turn back down, it will be a big disappointment. If the stock gets back down to 6.10/6.11 it will create a multiple low (more than 2) and those get broken 99% of the time, which in turn would likely mean the multi-year low at 5.05 would be tested.
One thing to consider is that this rally is likely based on the indexes rallying unexpectedly today off of the new 4-month high in oil prices. The chart of the indexes looks weak but today that has been put aside. Nonetheless, no resistance level of consequence has been broken, meaning this rally is likely bogus. Considering that situation, the rally in KNDI being seen is likely bogus as well.
Nonetheless, you now have chart parameters you can follow that will help you determine, at least on a short-term basis, what this move today means.
"you read this answers because you are a short seller who desperately knows that at the end you will loose".
Where do you get this kind of "unrealistic" ideas from?
"knows that at the end you will lose".
Did you know that at a Casino the house always wins even if once in a Blue Moon someone hits it big? Short-sellers in KNDI are the house. Sometime in the far future the stock may rally but in the meantime short sellers are raking in the money, over and over again.
I would rather have a sure thing "over and over" again than play the lottery hoping that at some point my numbers may come up and I will win big.
Do you ever consider common sense reasoning as a viable option?
"One huge news release and asta la vista"
Pray tell, what could KNDI announce that would be a huge news release???
Please be specific as to what it could be. Knowing a bit about the company, I can see no possible news release that would cause the company to soar in price.
I am neither bearish nor bullish on KNDI. I have stated that in the past at the same time that I have both purchased the stock as well as shorted it. I am a trader and my only interest is in making money any way I can.
I do have trouble with people like you that think you know it all and try to convince others to buy off of your presumed knowledge of the company.
The bottom line is that the company has a lot of questions that will need to be answered before the professional traders get involved in the buy side and that is fully displayed by the action being seen in the charts.
If you want to put all your money on your beliefs, it is certainly your prerogative but don't try to convince others to do the same. It is not your place nor you have enough knowledge of the company to attempt being a spokesperson for the bulls.
I wish you well with your investment, but the reality is that so far it has been a bust!
I can't even find the words to respond to such a post.
Nonetheless, using your conclusion, it must be said that they have been "extremely" successful in working for the "short/mm crooks" as the stock has gone down, down, down. Something must be wrong with the bulls that they can get flamboozled by just 2 guys on a message board, one of which has stated he has no positions (long or short). That is quite a feat, or is it that the bulls have no real buying power? If that is the case, I would run from such a stock as you need more buying than selling to make the stock go up and if just 2 guys can get more selling to occur (over the buying), well I would not want to be in such a stock.
"Solid Foundation" Stock is $1.50 from the 3-year low and $16 from the 2-year high. I would not call that "solid" by any stretch of the imagination. Stock got close to the 3-month low at 6.10 and that on a day that the bulls in the market accomplished a mini breakout. If the stock breaks the 6.10 level (just 13 points from today's low) it will make a new 7-month low and if it does that, whatever foundation has been built (not a solid one) will be destroyed.
"Bashers are here for one reason and one reason alone" Yes, they are here because this is a good stock to short, one where profits can be made quite easily. If you found such a stock, would you stay away?
"Hold and buy the dips". Every bulls has been doing that and so far the only result of doing so is a pyramid loss that threatens many portfolios for extinction. After all, how much money do you need to have to buy, hold, buy more and hold, and buy more and hold again if the stock goes down every single time you buy.
That kind of advice is what is usually given at a mental institution. I has no validity and can be destructive.
I wonder if you have been following your advice and if so, would you be so kind to tell us how many shares you have and at what average price?
I just read the charts as they are, they are not "mine".
The charts are not showing any anticipation of such a positive piece of news. If you are mentioning it, then it is probably news that is known and if that is the case, it is NOT bringing any buying interest.
PLEASE keep in mind that buying "interest" will be shown on the charts and without it, the stock will NOT move up. It is simple math.
KNDI just made a new 31 trading days low and is 3 points from making a new 3-month low. If that does occur (now looking likely), the chart formation offers a 4.58 downside objective.
At the very least, the gap down between 6.40 and 6.57 will be targeted and if the February intra-week support at 6.10 is broken, there is no support until "minor" support at 6.55 and then the multi-year low at 5.05.
Chart is strongly leaning to the downside and with the indexes likely in the Sell in May and go Away correction and likely to move lower, the bulls will need to hope the earnings report on Tuesday is better than expected. Given the economic situation in China at this time (very poor), the probabilities of the earnings report coming out sufficiently better than anticipated is low.
Enjoy the ride as it seems the roller coaster is on a down slope.
May is also the start of the "sell in May and go away" adage and already the indexes showed last week that the probabilities are very high that a correction has started, given that for the first time in 10 weeks the indexes went below the previous week's low. In addition, the levels reached and the inability of the bulls in the NAZ to close the January gap at 4999 is a bearish signal.
KNDI is showing a formation similar to a Head & Shoulders though it cannot be a Head & Shoulders formation since the stock is not at a major top. Nonetheless, the formation is clearly defined and a daily close below 6.93 would bring quite a bit of new selling interest. The formation itself offers a 4.53 downside objective, so be aware of that.
The KNDI chart has turned bearish again and with the indexes giving a signal this past week that a correction is likely under way, it is going to be very difficult for the bulls to rally KNDI.
Downside objective presently is 6.15 with closure of the gap down at 6.40 as the main target.
$58 in what time frame?
There is absolutely no chance at this time that the stock will get up to $58 this year or even next, unless there is a major breakthrough with the company and the fact is that the company's product does not offer the kind of upside outlook that would make the stock reach that level for a long long time.
In addition, since you have stated that you are a swing trader, pray tell what you base this unbelievably uninformed outlook of $58 on any kind of swing trading.
The stock has 3 brick walls that it has to get above (at $8, at $10, and at the previous major low at $11.35. To get above all of those levels would require a major fundamental change (which is not on the horizon) or working with the charts over a period of at least 3 - 6 month to overcome those brick walls, all along requiring help from the indexes heading higher, the Chinese market heading higher and better earnings (which are not due out for another 2 months).
As such, what would make a sane person make such an unreasonable comment. It is beyond being possible.
As such, I have to add you to the list of people that should be on heading to a mental institution.
Hey, with so many crazy people here, perhaps this message board is Yahoo's mental institution. It certainly would answer a lot of questions!
Hey FS, I don't know if you realize this but you have been saying "buy, buy, buy" for the past year and yet the stock is $13 below the high and only $2 above the low. Simply stated, you have done nothing but lose money for yourself and those that listened to you.
Do you realize just how stupid you look? How uninformed you are?
I know you believe in the long side of KNDI, but there is a point in time where someone with half a brain would just stay quiet and not continue to make a fool of himself. Or is it that you just like to hear yourself talk or convince yourself that you are right by simply repeating the same thing a million times?
So far, the chart evaluation I made 5 days ago has worked perfectly. The stock has now closed the gap and is down to the 7.10-7.30 level. Now, we'll start to see just how much buying/staying power the bulls possess