Ladies and gentlemen, two-time Oscar winner Ben Affleck.
Futures are pointing slightly lower as I write this. Although the bulls have dominated the overall tape thoroughly in early-2013, I am open to a few scenarios as this point, not getting caught up in a rigid short-term thesis.
One stock I want to return to is a sexy one which has been in the news lately. Despite the perceived risks to bears in Herbalife, especially with the intimidating Carl Icahn long the stock in size, I continue to see a broken chart. We have declining 50 and 200-day moving averages, with price struggling below those reference points.
Perhaps of most significance since my last update on the stock, the huge rally after Icahn announced his stake in the firm has been erased, on top of the firm reporting earnings. Setups like that tend to reinforce the bear trend, as any bit of “good news” sees an exuberant bounce quickly fizzle out.
Any further downside from current levels, down away from the 20/50 day moving average convergence puts those key $25 lows (a multi-year level of importance) in jeopardy of being probed again.
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Can’t stand the lowest common denominator (low-information) politics of Affleck (and his “lil buddy” Damon), but you have to tip your hat to his directorial prowess.
Plus, he landed Jennifer Garner, so how bad could he be? Maybe fatherhood has mellowed his somewhat.
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Treu