29Apr11:06 amEST

Homemade BlackBerry Wine

I am long BlackBerry for a swing trade with an $8.70 protective stop-loss. BB is a firm I have been tracking for a while now more than actually trading, as long-term turnarounds can be rather tedious and, ultimately, choppy to trade. 

However, if and when the market deems the turnaround a success the stock can often rapidly morph into a newfound momentum stud.

In the case of BB, the firm clearly has sought to pivot from obsolete business-related cell phones towards smart grid, security-related tech, not to mention self-driving automobile software. That falls under the umbrella of the red-hot enterprise software space, and should help the stock if nothing else.

But on its own chart's merits, BB has improved technically. On the updated daily chart, below, consider the notes I have made for you. The "pinched" Bollinger Bands indicate the recent price consolidation above its 200-day moving average has reached a level of compression where we now expect the next imminent price move. True, that move may be lower. But BB has held above its 200-day admirable this time with no sharp rejection nor any real presence by sellers. 

BB was one of three "catch-up" software long ideas I discussed with Members in my Weekend Video. I am looking to see if this is finally BlackBerry's time to shine. One would think if BB cannot begin to flourish now, it may never attain the full turnaround it desires. 

Elsewhere, we have a big lineup of earnings and macro this week, with GOOGL tonight and AAPL tomorrow. 

Weekend Overview and Analysi... Banking on It {Video}


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