OSTK Cup & HandleTechnicals:
Overstock is showing multiple bullish signals that can't be ignored.
Potential cup and handle.
Price above 20, 50, 100 and 200 SMA but not too high above.
RSI has found support near this area multiple times in recent past.
MACD is above zero line but might see a bearish crossover. This could provide opportunities for a good entry.
Above rising trend line (in blue).
If the cup and handle fails I am expecting 20/50 SMA to hold if that doesn't hold then next support will be at rising trendline.
The idea is to either trade the breakout of cup and handle or the bounce off of one of the support levels that I mentioned above. When buying the bounce make sure to use the stop loss right below the support. This could provide decent risk/reward ratio.
Fundamentals:
This is a low float stock with extremely high short interest ratio.
Float: 24.3M
Short Percent of Float: 59.95%
Days to Cover: 5.3565 Days
% Held by Institutions: 64.66%
Depending how the earnings come out on March 18th, this might see a massive short squeeze.
Disclaimer:
The information is to be used for educational purposes only. Not a recommendation to buy or sell.