Blackstone Follow Up

BX 10.13 follow upRaised a few eyebrows when I declared I was shorting BX this morning after they popped yesterday on news they’re going to unload some of their excess baggage.  I understand that and it’s because they’re watching it as an ascending triangle which would be bullish on an upside breakout [which it had Monday].  I, however, took a further step back.  On the Weekly it’s definitely a Bearish rising wedge.  Checking on the Daily at the overall movement off the March lows, I continue to view it as a rising wedge.  Each time it popped, it was faded.  Every single time.  ROC, Accum/dist and MACD all reflect divergence and it’s my belief if it weren’t for those three pops, this stock would still be back at $12 or lower.  The way I look at it; financials are a little shakey here with 3Q earnings being released and BX is not exempt.  If the funds have no desire to accumulate BX, neither will I.  I’m therefore following its previous behavior and fading the pop 😉

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s