Chwy continuing to get punished to the downside
- We hit the preliminary point and figure target of 70 but further downside is entirely possible
- Using the longer term point and figure distribution we should be going lower
- Using the the wedge (captured via bar charts) confirms this
Fundamentally CHWY is getting dragged down along with the entire IPO basket; higher inflation will lead to further compression of multiples on growth
However, my view is that inflation will be fleeting once more reenter the workforce and shares will be absorbed somewhere in the 50-60 price range
PFP assumed 5 bar reversal, 2 points per unit
- We hit the preliminary point and figure target of 70 but further downside is entirely possible
- Using the longer term point and figure distribution we should be going lower
- Using the the wedge (captured via bar charts) confirms this
Fundamentally CHWY is getting dragged down along with the entire IPO basket; higher inflation will lead to further compression of multiples on growth
However, my view is that inflation will be fleeting once more reenter the workforce and shares will be absorbed somewhere in the 50-60 price range
PFP assumed 5 bar reversal, 2 points per unit
Trade closed: stop reached
Stopping out on risk
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Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.