Friday 13 April 2012

HPQ - whats up with the big jump?

Hewlett Packard took part in today's day'2 of the recovery rally..but in a more extreme manner that almost anyone could have projected.

HPQ, daily


I've highlighted HPQ once or twice since I started this stock page, primarily since it was such a good example of an old established company that has largely lost direction..and is relentlessly fading away.

Today's 7% jump was quite a surprise - and supportive of the idea that the wider market will make new highs in late April/May.

Where next?

We have a very obvious gap to fill at $28, that actually looks viable within a few days if the current trend in the wider market continues. Can HPQ break the massive resistance at $30?

I would argue that if we see HPQ - regardless of fundamentals in both the economy and HPQ itself, $31 or higher, it would suggest SP'1550 WILL be hit sometime this summer.