GarethSoloway's  Instablog

Send Message
Chief Market Strategist Gareth Soloway has been an avid swing and day trader since his days at Binghamton University where he studied Economics. After college, Gareth quickly excelled as a financial advisor, helping clients get their financial houses in order. While helping others gain financial... More
My company:
My blog:
Pro Traders Rant & Rave Blog
  • Hewlett-Packard May Be On Its Last Circuit 3 comments
    Mar 25, 2014 2:01 PM | about stocks: HPQ

    Hewlett-Packard Company (NYSE:HPQ) continues to do its best to drive their stock price higher. The feeble attempts are beginning to smell of desperation. Just a couple days ago, CEO Meg Whitman said the company would be getting into 3-D printing as early as this summer. However, yesterday, the company quickly back tracked, saying it was further down the line.

    What makes this company a sell? First, the chart put in a classic topping tail just days ago. When a topping tail forms at multi year highs, it signals a very likely exhaustion top and reversal. Next, we must all put on our big boy pants and recognize that the stock is up from $11.50 in late 2012. With the current price of $32.21, this makes for an approximate 200% move in just over a year and a half. For an old school tech company, this has far exceeded its common sense range and reeks of a bloated pig.

    As the company tries to fabricate the next big story that will drive the stock up, smart investors are noting the signals and selling or shorting. I myself gave this out as an alert to my members as a short trade. It fits the criteria for a multi-month pull back candidate to the $27.50 level.

    Gareth Soloway

    Stocks: HPQ
Back To GarethSoloway's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (3)
Track new comments
  • Willow Street Investments
    , contributor
    Comments (2566) | Send Message
    Sounds like a signal to hold it to me....which is what I will do.
    25 Mar 2014, 03:19 PM Reply Like
  • Fred Piard
    , contributor
    Comments (1209) | Send Message
    "this makes for an approximate 200% move in just over a year and a half".
    ...after loosing 3/4 of its value in the 3 previous years. Chart looks not so bad on all time frames. I like the inverse H&S on the monthly chart.
    Forward PE is at 8.2. A boring cash machine.
    25 Mar 2014, 04:33 PM Reply Like
  • TDune75
    , contributor
    Comments (378) | Send Message
    The author selectively ignores many factors for the stated $11.50 stock price low of $HPQ. Selectivity doesn't end there. Why is the author taking such a short-term view of HP stock price? Fred Piard has a great point, look at the chart in all time frames.


    At this point, anyone shorting $HPQ are going to get "creamed", unless there's a total market correction/melt-down. This stock has a lot more room to run with such low P/E ratio's, high cash flow and reasonably low long-term debt.
    26 Mar 2014, 02:30 AM Reply Like
Full index of posts »
Latest Followers


More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.