BBRY is a turnaround play, pure and simple. John Chen is at the helm and has a tough job ahead of him in re-branding this company from device maker to ‘internet of things’ software developer.
The fundamental research I have relied up on is from Citron Research, whose site can be accessed for mostly bearish research on individual ‘scam’ stocks. On rare occasion when the site’s researcher, Andrew Left writes a positive piece, it is worth checking out. He is practically willing Blackberry to change its name back to Research in Motion, with a $20 price target. The research can be accessed here.
I am just a dumb chart guy however, so that is what this + update is about. I have held BBRY on a buy back after the recent plunge, but have been a little uncomfortable with the way it has been creeping along under the MA 50. Today it is making an attempt to climb above it. If it is able to get above and then use the 50 as support for a few days, a reasonable conservative target would be a gap fill above 11 at a minimum.
The weekly chart lends perspective and even more reason to have patience to see if it can climb above and hold the MA 50. If it can get above the red pattern neckline at around 10, a measured target of 16 will be loaded. There is notable resistance at that level.
Buy Target: Current levels on a hold above the SMA 50 or a rise above 10 and a hold of the neckline, turning it to support.
Sell Target: 16 or anywhere lower as suits individual profit motives.
Stop loss: Loss of daily MA 50 and below 9.50 as suits individual risk tolerance.
I remind you that NFTRH+ updates are just trade setup ideas, which may not be revisited as the parameters are already noted. They are meant as a starting point for further research if interested.