If a stock is below its 52 week low and obviously has just created a new low.
Is this an opportunity.
Some say this is a good gauge of checking its last price to the 52 week low/high range. Lately there are many that have made new lows.
How could one interpret this:
Trouble or Opportunity
Cheers
SG
theasxgorilla
21st-August-2008, 09:03 PM
On the way up I think that breakout from a 52W high has merit...particularly if the stock is making higher lows.
Don't know about the way down...haven't tested it.
aacantona
21st-August-2008, 09:18 PM
52W Low in a Up-trending market = Problem
52W Low in a Down-trending market = possibly chance or Bigger Problem. -->
Best bet = leave it alone.
Trembling Hand
21st-August-2008, 09:29 PM
Funny when a stock makes a 52 week high its a buying opportunity. When you flip that and it makes a 52 week low you should be flipping the buy to a sell but people still think its a buy.
Lets face it, people just want to buy. As silly as that can be. See BNB
MichaelD
21st-August-2008, 11:30 PM
Funny when a stock makes a 52 week high its a buying opportunity.
Not for the sheeple - surely it can't go any higher!?
When you flip that and it makes a 52 week low you should be flipping the buy to a sell but people still think its a buy.
That'd be the sheeple again (wanting to buy).
nioka
22nd-August-2008, 09:49 AM
Hi all
If a stock is below its 52 week low and obviously has just created a new low.
Is this an opportunity.
Some say this is a good gauge of checking its last price to the 52 week low/high range. Lately there are many that have made new lows.
How could one interpret this:
Trouble or Opportunity
Cheers
SG
There is a chance that it could be a buying opportunity but with some the chances are slim. I believe there are some that I hold that may come good and that is why I still hold.
I bought some ADI at a 52 week low recently and they are now up quite a lot with chances of going a lot higher. The fundamentals are sound as they are a spec stock drilling for oil and gas with better indications for success than they had when the price was three times the present level.
I hold EDE and have increased my holding. They are closer to developing a sound profitable business than ever before and are selling at a fraction of the price they were when they were more of a spec stock.
OZL is one that is a sound business (IMHO) and is around a 52 week low. I hold that and will continue to accumulate.
I suggest there are a lot of stocks that are neglected because of the current financial climate that are well and truly undervalued.
