Between July 2, 2010 and September 24, 2010 Expedia jumped from $18.30 to $29.85, almost a 30% jump in about three months. Last six months this stock is in downtrend, and dropped almost 25% from its high. It is currently trading at $21.32, just $3 above its 52 week low, and I think it is time to plan our move.
On March 2, 2011 it bounced off of support at $19.61 and traded up for few days and then started trading sideways between $20.89 and $22.31. Below is a daily candlestick chart of Expedia, with some support lines below and resistance lines above its current price.
My Plan is to buy 300 shares of EXPE above resistance line 1 at $22.41 with a sell stop below support line 1 at $20.79. With this setup I will be risking $486 if it goes down after it hit my buy order. My target for EXPE is $27.60, which is $5.19 per share or a total of $1,557 in profit.
how did expidiate work out then? i am just seeing this site now? what is your latest pick
Expedia is still trailing sideways, and has not hit my buy point. I only buy at certain points as said above in my post. My strategy is: I would rather sit on the sideline than lose money. I am aslo waiting on AIG and SYNA.
Update March 30, 2011: Bot 300 Share of EXPE at 22.41 and setup a sell stop to sell 300 shares of EXPE at 20.79
whats your upper target?
Hi JD, my target for EXPE is around $27.60, depending on the market conditions and other factors involved in trading.
Update April 8, 2011: Sold 300 Share of EXPE at $25.40. Made 2.99 per share a total of $897.00. I got out of it to secure profit I already made even though I see a potential of EXPE hitting above $27.00