http://www.youtube.com/watch?v=ObglF8WUsWM
Despite being the butt of every joke, much like Research in Motion/BlackBerry, the big box electronics store Best Buy is still standing and not out of business. Furthermore, bulls did not go to Hell, as Paulie Walnuts might say, they went to Purgatory instead.
Specifically, observing the monthly timeframe below dating back well over a decade, the stock not only held onto the major $11 dating back to 1998 as being a highly relevant one, but we have seen a powerful V-shaped rally throughout 2013 on heavy buy volume.
That is exactly the type of price action and volume profile you want to see off of a “last line of defense” type of support level like $11 has been. Ideally, a pullback to the $20 area would be the best setup for fresh capital looking to add to the long side here.
I know it is not fun to shop there per se, and it seems as though the likes of Amazon should be literally crushing Best Buy, but the market is saying this business is nowhere close to dead yet. In fact, it is making a startling comeback.
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