Thursday, September 18, 2008

Option Activity Alert: Bulls Bet on a Bounce for SunPower Corporation (SPWR)

Actually the whole group should be peppy today. They've been so washed out that Miss Trina was actually up yesterday (albeit only four cents, that bit of green on the screen was kind of Christmasy in all the red)
From Schaeffer's Research:
Optimism is heating up on this solar concern, even as the stock slides lower

SunPower Corporation (SPWR: View sentiment for SPWRsentiment, chart, options) reached its peak price of $164.49 back in November 2007. Since that apex, the shares have taken a rather drastic haircut, and are down 41% year-to-date. However, the stock is hardly in free-fall mode; SPWR has bounced between the 60 and 100 levels throughout 2008. During this time, the equity's 10-month moving average has emerged as a staunch resistance level, while its nascent 32-month trendline has acted as support.

Monthly Chart of SPWR since November 2007 With 10-Month and 32-Month Moving Averages

More recently, SunPower shares have turned lower amid rising concerns about a potential slump in solar-panel pricing for 2009....MORE

SPWR is up a penny in late pre-market trade (it was up almost two bucks earlier. Like the green sub-head?)