eBay Inc. (EBAY/NASD): general analysis
30 January 2019, 11:42
| Scenario | |
|---|---|
| Timeframe | Intraday |
| Recommendation | BUY STOP |
| Entry Point | 34.50 |
| Take Profit | 36.00, 37.50, 39.00 |
| Stop Loss | 34.00, 33.00 |
| Key Levels | 30.00, 31.00, 32.50, 34.50, 35.75, 37.00 |
| Alternative scenario | |
|---|---|
| Recommendation | SELL STOP |
| Entry Point | 32.45 |
| Take Profit | 30.00, 28.50 |
| Stop Loss | 34.00 |
| Key Levels | 30.00, 31.00, 32.50, 34.50, 35.75, 37.00 |
Current trend
The shares of eBay are trading at a new 3-month high, gaining 29% from the December 52-week low. Yesterday, after the closing of the market, Q4 2018 report was published, which exceeded the Wall Street expectations. Earnings per share were $0.80 against a $2.51 loss last year. At the same time, the company announced revenue forecasts for the current quarter of 2.55–2.60 billion US dollars and the whole 2019 in the amount of 10.7–10.9 billion US dollars, which were below market expectations (2.66 billion US dollars and 11.17 billion US dollars, respectively).
During the last week, eBay grew by 2.40% against the growth of S&P 500 index by 0.30%.
Support and resistance
Shares of the company continue to recover after a prolonged fall. At the moment, #EBAY quotes are consolidating. The key support and resistance levels are 32.50 and 34.50. There is potential for further growth. Indicators reflect the strength of buyers: the price is fixed above the MA (50) and MA (200); MACD is in the positive zone. It is better to open the positions from the key levels.
Comparative analysis of the multipliers of the company and competing companies in the industry indicates the neutrality of #EBAY.
Resistance levels: 34.50, 35.75, 37.00.
Support levels: 32.50, 31.00, 30.00.
Trading tips
Long positions can be opened after the price is set above the level of 34.50. The closing of the profitable positions is possible at the levels of 36.00, 37.50 and 39.00. Stop loss is 33.00.
Short positions can be opened after the price fixes below the level of 32.50 with the targets at 30.00–28.50. Stop loss is 34.00.
Implementation period: 3 days.
The shares of eBay are trading at a new 3-month high, gaining 29% from the December 52-week low. Yesterday, after the closing of the market, Q4 2018 report was published, which exceeded the Wall Street expectations. Earnings per share were $0.80 against a $2.51 loss last year. At the same time, the company announced revenue forecasts for the current quarter of 2.55–2.60 billion US dollars and the whole 2019 in the amount of 10.7–10.9 billion US dollars, which were below market expectations (2.66 billion US dollars and 11.17 billion US dollars, respectively).
During the last week, eBay grew by 2.40% against the growth of S&P 500 index by 0.30%.
Support and resistance
Shares of the company continue to recover after a prolonged fall. At the moment, #EBAY quotes are consolidating. The key support and resistance levels are 32.50 and 34.50. There is potential for further growth. Indicators reflect the strength of buyers: the price is fixed above the MA (50) and MA (200); MACD is in the positive zone. It is better to open the positions from the key levels.
Comparative analysis of the multipliers of the company and competing companies in the industry indicates the neutrality of #EBAY.
Resistance levels: 34.50, 35.75, 37.00.
Support levels: 32.50, 31.00, 30.00.
Trading tips
Long positions can be opened after the price is set above the level of 34.50. The closing of the profitable positions is possible at the levels of 36.00, 37.50 and 39.00. Stop loss is 33.00.
Short positions can be opened after the price fixes below the level of 32.50 with the targets at 30.00–28.50. Stop loss is 34.00.
Implementation period: 3 days.
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