Since its IPO back in 2017 SNAP has been annihilated on every occasion. the price found support in the 11.28 - 16.88 area where it ranged for the since the past 3 months. However, today a shift happened. The first bullish earnings report hit the street. Wall Street likes the numbers especially the user and revenue growth. The stock is gapping up 22% pre-market.
Following the recent selloff in stocks which id due for a bounce and the positive momentum from this earnings release, there is a decent probability SNAP will try to go back to its IPO price.
Setting up a bid at the first support 16.88 with a stop loss at lower support 15.80 with a target at the 50% retracement of the entire down move, which is 20.36. Overall r/r ratio of 3.22.
Following the recent selloff in stocks which id due for a bounce and the positive momentum from this earnings release, there is a decent probability SNAP will try to go back to its IPO price.
Setting up a bid at the first support 16.88 with a stop loss at lower support 15.80 with a target at the 50% retracement of the entire down move, which is 20.36. Overall r/r ratio of 3.22.