After recently breaking out of a perfect cup n handle, JASO has run into a confluence of bad news and counter trends. To start with, they announced a secondary offering to be priced based on today's closing price ($40.98). Second, Chinese solar plays have fallen hard as LDK Solar has been accused of cooking the books and essentially lying to investors. Barrons did a chop job on all Chinese solar this weekend and after recently exploding, many China stocks got hit today. All this bad news has merely pulled JASO back to the "neckline" of the cup n handle. From a chart perspective, this move looks like a typical throwback and a great low risk entry point with a measured rule target near $55.
And for anyone trying to call this a hype/momo/bs play as opposed to a true growth story, just take a look at some of these numbers.
Disclosure: I own JASO calls
1 comment:
Booyah.
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