The stock has been on a tear this week, but I’d be surprised if it’s because the cud-chewing herd has caught the bullish scent of factors cited in yesterday’s commentary. We’ll sit back for now, since the 6.76 bear market target identified in yesterday’s commentary still looks pretty compelling. If the stock impulses above the 14.97 peak recorded on November 16, though, we may have to jump in. Meanwhile, the chart shows a 14.52 rally target in prospect if its sibling midpoint at 13.59 is swept aside. _____ UPDATE (December 7, 12:40 a.m. EST): The stock has relapsed after having rallied no higher than 13.49. (Please note: The “Last Price” will always be the price of the stock at the time of the original post, or, when applicable, the last update.) _______ UPDATE (December 24, 11:58 a.m. EST): Following an idiotic, one-day short-squeeze frenzy 25% above the market, Best Buy has relapsed and is flirting with new lows. Under the circumstances, we’ll continue to wait for that fabulous buying opportunity down near 6.76. I still think the company is on the mend, but it could still take a few months before investors have their belated epiphany. ______ UPDATE (January 15 at 1:21 p.m. EST): An explosive rally begun last Friday holds great encouragement for beleaguered shareholders. The so far high of the move is 14.67, and although it would take quite a bit more than that — specifically, a push exceeding 48.83(!) — to negate the 6.76 bear-market target, the thrust so far is powerful enough to have turned the daily chart (if not yet the weekly; that would take a print at 21.61) bullishly impulsive. What this means is that, 6.76 target or not, the stock is a short- to intermediate term “buy” on any b-c pullback from 14.67 or higher. For this purpose, camouflageurs should take note of the 14.97 ‘external’ peak created on November 16.
Next Hidden Pivot Seminar: June 5-6
Signup before 6/1 and save $50. Use coupon code 7D5629