Vinco Ventures Spikes Higher As Traders Circulate Court Filing: The Bull, Bear Case For The Stock

Vinco Ventures, Inc BBIG was surging Thursday as traders circulated a court document on social media filed at the Clark County, Nevada court on Tuesday.

The defendants in the case include several Vinco Ventures executives and former executives, including former co-CEOs Theodore Farnsworth and Lisa King. The plaintiffs in the case are Shadwrick Vick, Christopher Muntz and Darryl Wayne Genis.

On Twitter, the news was celebrated by traders who want Vinco Ventures’ executives and former executives held accountable for what some allege is fraud.

Vinco Ventures has plunged 97% since reaching a high of $8.50 on Sept. 8, 2021 and has lost about 50% since the start of 2023.

From a purely technical analysis standpoint, Vinco Ventures may be about to reverse course from its long-term downtrend because on Thursday, the stock was working to print a higher high.

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The Vinco Ventures Chart: Vinco Ventures negated its downtrend on Thursday by printing a higher high at just below the 28-cent mark. The level was above the most recent lower high, which was formed on April 6 near 27 cents.

• On Thursday, Vinco Ventures was attempting to regain the eight-day exponential moving average as support. If the stock can regain that level, it would give bullish traders more confidence that a longer-term reversal to the upside is on the horizon.
• Technical traders may have seen the pop higher was in the cards because over the last three trading days, Vinco Ventures printed a triple bottom pattern near the 24-cent mark. The pattern is considered bullish, and on Thursday the stock was reacting positively on increasing volume.
• For a new uptrend to confirm, Vinco Ventures will eventually need to retrace lower to print a higher low. Traders can watch for the stock to form a bullish reversal candlestick, such as a doji or hammer candlestick, above 24 cents for a possible entry.
• Vinco Ventures has resistance above at 33 cents and 46 cents and psychological support below at 25 cents and the 20-cent mark.

Photo via Shutterstock.