Of course try to forecast anything must be pretencious or a complete stupid.
My goal,is not repeat the obvious as well not forecast anything,but just comment the "old" movement this past month and the present situation.
We all saw the share drop from high 220 to 150 and later to 112,(the current botton price),and being at 116/117 we are just 3.5% up from the botton.
The past 2/3 week we saw the share ,most of time trade between 115-120 according with the [pressure of the shorters and the occasional buyers.
What we can easy say is:... The shorts failure at that stage to re-test the 112 and they could not easily make the share go to new lows. For sure they target this... Knowing that on 27/10 new info coming, "as low as safer to them".
They failure ...
That don't makes the game finish... Of course they still trying, but always the share arrives to 115 plenty of retail buyer come and damage the strategy showing more and more support to the range 112-115.
If we confirm this in the present week, no reason to imagine the 2 weeks earlier the report the pressure will be "sell". Of course is expected a pressure buy considering new set of number can confirm the good performance, just erasing any bad past comment about Chinese market and maybe showing the first signs of the new deals around new markets.
What makes me bullish and confident in this stock is not the variation happening now (like consolidating and forming a base),but much more than that....
The market have really lack of shares that can provide a safe dividend, most of them trading with PE's very high and most with clear signs (like banks) that the price is on top and next quarter will drop.
People (funds, investors) must make money.... Shares like BKL for sure is a good place to park at least for a short term, with very minor back room and plenty upside.
My target is 139 before the meeting ( 2 days earlier).
Good luck to all holders, and specially good luck to shorters...You will need !
Cato
BKL Price at posting:
$116.96 Sentiment: Buy Disclosure: Held
