NEW BEARISH Plays
Symantec Corp. - SYMC - close: 20.07 change: -0.21
Stop Loss: 20.65
Current Gain/Loss: unopened
Entry on April -- at $--.--
Listed on April 28, 2014
Time Frame: exit PRIOR to earnings on May 8th
Average Daily Volume = 9.4 million
New Positions: Yes, see below
Why We Like It:
SYMC is in the technology sector. The company provides security software solutions. The stock appears to be in a bearish trend that began in August 2013 after the stock popped to new multi-year highs just a few weeks before.
The company's earnings have been inconsistent. Back in October 2013 they reported earnings and then issued an earnings warning. Their Q4 results in January were better than expected but the stock sold off anyway. Then in March this year SYMC management lowered guidance again that sparked a big wave of analysts downgrades.
The oversold bounce from its latest earnings news blunder is beginning to roll over under its trend of lower highs. Shares currently sit on round-number support at $20.00. We're suggesting at trigger for bearish positions at $19.90. Our short-term target is $18.10. We do not want to hold over the earnings report on May 8th. More aggressive traders may want to speculate on holding over the report. The
Point & Figure chart for SYMC is very bearish with an $11.00 target.
Trigger @ 19.90
Suggested Position: short SYMC stock @ (trigger)
- (or for more adventurous traders, try this option) -
Buy the May $20 PUT (SYMC1417Q20) current ask $0.68