Taking On Bill Ackman
- Posted by Greg Harmon
- on May 8th, 2014
I think I could take him in a fight. He seems like a pretty boy. But aside from dealing with his traders (who are major pains in the ass) he has never done anything to me worth taking a swing at him. So I will take him on in the battle field of the market. And specifically in one of his preferred shorts, Herbalife, $HLF. I have a condition though. I will only engage in the battle if the stock moves over 62.50. It looks promising to me that we will fight as the stock has mad a higher low and a higher high. It has a rising RSI and MACD to support more upside and the Bollinger bands are pointing higher. The chart below illustrates all this. There is other supporting technical evidence too. The 3 box Point and Figure chart carries a price objective to 83 above. If it gets there I will declare victory, showing mercy, since I know Ackman never uses a stop loss and never thinks he is wrong. One more thing. I do use stops, so that I can live to fight another battle. The area where the 20 and 50 day Simple Moving Averages cross at 58 is a natural spot or the bottom of the red zone. Good luck to you old silver haired man.
Get my book, Trading Options: Using Technical Analysis to Design Winning Options Trades from Amazon.
Want to learn more about Dragonfly Capital Views?
Dragonfly Capital Views Performance Through April 2014 Expiry and sign up
If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.blog comments powered by Disqus
Gregory W. Harmon CMT, CFA, has traded in the Securities markets since 1986. He has held senior positions including Head of Global Trading, Head of Product Development, Head of Strategy and Director of Equity. (More)
- SPY Trends and Influencers February 6, 2016
- Macro Week in Review/Preview, February 5, 2016
- How this week’s Top 10 Performed, February 5, 2016
- Premium Earnings 2-5-16
- Are You Riding on the Gold Bandwagon?
- Comfortable Trade Ideas for HanesBrands Earnings
- Premium Earnings 2-4-16
- The Transports are Still Looking for Fuel
- Time to Make the Dough(nuts) – Earnings Trades for Dunkin’ Brands
- Premium Earnings 2-3-16