PTON Head and Shoulders PatternA lot of you may already be aware of the unfortunate news involving the New Peloton ($PTON) treadmill where a child unfortunately passed away from an accident. The stock price has since continued to fall from their ATHs that was created from the At Home Workout Craze caused by the COVID-19 pandemic. It is obviously heart breaking to hear the stories and also know there have been a lot of reports of accidents involving the $PTON treadmill since it's release. But something to keep in mind, there are thousands of accidents a year involving treadmills in general. I am NOT belittling the unfortunate event but accidents and injuries are always present with workout machines/weights. But people continue to workout at home or go to gyms everyday.
As you can see from the chart, there is a Head and Shoulders pattern unfolding where the ~$100 is acting as support. This pattern is obviously Bearish so in the short term, I think we could see $PTON fall further. However, in my opinion the long term out look once these issues are corrected, is still Bullish. I believe individuals will still continue to purchase the $PTON equipment and pay for their subscriptions. Working out at home will never die and $PTON will continue to well in the space.
Let me know what you think. I would love to hear opposing and agreeing thoughts on this.
