Here’s why I think Twitter ($TWTR) is holding up in a horrible tape. (April 22, 2022)TWTR QQQ
I got just one thing here, and that is with respect to Twitter ( NYSE: TWTR ). Despite an absolutely “fuggly” tape here ( NASDAQ: QQQ ) in tech, everything was getting crushed Twitter ( NYSE: TWTR ) was actually up 3.5 percent.
Now, why would that be, you ask yourself? Well, that is something that I asked myself too. And what I have concluded, though it could be totally wrong, so if my conclusion actually does not come to pass, don’t give me grief about how I was wrong. Because I am telling you, it’s a 50/50 shot.
But by the way the stock is trading here, and some of the tweets that Elon Musk has made lately, I just kind of wonder if over the weekend they might come up with some kind of tender offer for Twitter ( NYSE: TWTR ), which will be fun to see more snowflakes melt, even if the tender offer would not go through.
I think the market is kind of pricing in or starting to price in another move higher in this. I have said it before and I will say it again, this is the floor from where the stock settled in after it gapped up and ran on the news that Musk had taken a big stake in the company. I still think this is the floor, 45ish, maybe 44.00, but most assuredly the floor is 40.00. That is like 20 percent from where it is now, something like that.
I wouldn’t really look at the floor here at 40.00 as being where I would put my stop. But I would certainly even look to buy this thing now. Just make sure you give it a 7 or 8 percent stop if you are buying it right now and I think you are probably going to make money on this trade, which is one of the few that seems to be out there these days.