Chart of the Day: This Tech Position Is Showing Better Entry Points
The stock has corrected 15% from an overbought condition but here's what could happen next.
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The rough and tumble road for TheStreet Pro Portfolio holding Universal Display OLED continues on, but there is some light at the end of the tunnel. Unfortunately following the recent earnings release in late October, the stock was pounded and followed through to the downside, exhibiting bearish qualities. But what looks better here is OLED is coming hard into support, and the selling seems to be letting up.
Momentum is bearish, though, and that is leading the stock to lower levels. The next support zone comes in at $158-ish, which was the low in early August hit just before a very aggressive move higher ensued.
Money flow is weak and the Moving Average Convergence Divergence (MACD) is still bearish, but as mentioned it seems the momentum to the downside is slowing down. After a 15% drop from the October highs this could be a good spot to add more shares, but also if that August level is tagged, too (call it $158-160).
The candles are purple, which is bearish on the GoNoGo composite of indicators. However, we have recently seen a move back to at least neutral following some bearish candles (early September, early August).
Let's see how this plays out.
More Pro Portfolio:
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At the time of publication, TheStreet Pro Portfolio was long OLED.
