Hewlett-Packard May Be On Its Last Circuit
Hewlett-Packard Company (NYSE: HPQ) continues to do its best to drive their stock price higher. The feeble attempts are beginning to smell of desperation. Just a couple days ago, CEO Meg Whitman said the company would be getting into 3-D printing as early as this summer. However, yesterday, the company quickly back tracked, saying it was further down the line.
What makes this company a sell? First, the chart put in a classic topping tail just days ago. When a topping tail forms at multi year highs, it signals a very likely exhaustion top and reversal. Next, we must all put on our big boy pants and recognize that the stock is up from $11.50 in late 2012. With the current price of $32.21, this makes for an approximate 200% move in just over a year and a half. For an old school tech company, this has far exceeded its common sense range and reeks of a bloated pig.
As the company tries to fabricate the next big story that will drive the stock up, smart investors are noting the signals and selling or shorting. I myself gave this out as an alert to my members as a short trade. It fits the criteria for a multi-month pull back candidate to the $27.50 level.
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.