To Those Selling MA…
If you are selling MA at the current price, you are nuts. (This comment is coming from a trader who has no problem shorting.) I have shorted MA when it has gotten overextended, but now is not one of those times.
Their previous quarterly results were not that bad. Think about the macro economic environment in which they produced a 9cent beat.
The retail numbers will be out tomorrow, and I am sure they will be horribe. Whether MA takes a hit on the numbers or not is up to the big boys driving the price. But MA is oversold, and valuation has consolidated significantly. For the moment MA does not look to want to stay below 227.
No analyst has backed away from the story, and I agree with them. (With the exception of Cramer, who called MA’s quarter a horrible one. I still do not understand how he concludes this.)
The chart is negative, but will the fundamentals deteriorate to such an extent that merits a downward collapse in the name?
