Rocket Fuel Inc. (NASDAQ:FUEL) just released its Q1 results for 2014 and is getting torched afterhours, pardon the pun. Rocket Fuel Inc. reported a 95% increase in revenue which sounds great but they also reported a larger than expected loss. The stock is down 25% after hours trading at $20.75. Rocket Fuel Inc. is a digital advertising company and there is definitely no fuel in the tank after these earnings.
Rocket Fuel Inc. (NASDAQ:FUEL) has dropped 70% from its peak in January 2014 but one must be cautious trying to pick bottoms on these once high flyers. Key technical analysis must be done to figure out where Rocket Fuel Inc. is a high reward, low risk buy. After spending over an hour on analyzing the chart, the high reward bounce level is $18.93. There is a high chance of a bottom being put in at this level.