Parabolic Move
Look at a 5 day chart of TZOO (http://finance.yahoo.com/q/bc?s=TZOO&t=5d). Over 100% in 5 days. WOW!. Now I dont know why I feel the need to mess around with a stock like this but something tells me it needs to pull back. The cause of this rally was a combination of factors. First the stock had a 38% short ratio, which is insanely high. Then they reported a much better than expected quarter on the stock took off like a rocket ship. Now everyone who is short the stock is trying like hell to buy it back so that they wont get run over, this is a classic short covering rally. So it begs the question: Is this stock shortable now? In general a 4 days ralley signals a pullback. However, given its high short ratio it may have another day in there, after that it could pullback somewhere in the vicinity of 10% or more. Timing is the key to this one though. I just thought I would bring it to your attention.
2 Comments:
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By Anonymous, at 11:30 PM
Interesting website with a lot of resources and detailed explanations.
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By Anonymous, at 6:13 AM
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