Bears getting a grip of Electronic Arts again, short below $90
EA had a terrible week and suffered a 10% drop in 2 sessions on high volume which wiped out the gains it had made in the previous 2 weeks. Reaction to the release of Apex Legends was not exactly as expected and clearly signals the change in trend to free games with Ingame purchases, which is very much like the development of the subscription model in software providers.
The implications for gaming stocks like EA and ATVI is quite worrying and makes this a no go zone on the long side.
Potential trade setup is short below $90
Company Description
Electronic Arts , Inc. engages in the provision of digital interactive entertainment. The firm develops and delivers games, content, and online services for Internet-connected consoles, mobile devices, and personal computers. It operates through the North America and International geographical segments. Its product brands include The Sims, Madden NFL , EA SPORTS FIFA, Battlefield, Need for Speed, Dragon Age, and Plants vs. Zombies.
The implications for gaming stocks like EA and ATVI is quite worrying and makes this a no go zone on the long side.
Potential trade setup is short below $90
Company Description
Electronic Arts , Inc. engages in the provision of digital interactive entertainment. The firm develops and delivers games, content, and online services for Internet-connected consoles, mobile devices, and personal computers. It operates through the North America and International geographical segments. Its product brands include The Sims, Madden NFL , EA SPORTS FIFA, Battlefield, Need for Speed, Dragon Age, and Plants vs. Zombies.