Thursday, December 3, 2009

First Solar up $8.00, Approaching bottom of October Gap (FSLR)

UPDATE: "First Solar: Collins Stewart Turns Bullish (FSLR)"
Original post:
12:05PM First Solar notches new session high of 127.74, approaching its Nov recovery high at 127.99 (FSLR) 127.50 +5.78 : The bottom of its late Oct gap marks the next level of note at 130.03.
Here's the six month chart via BigCharts:

The stock has traded through the 20 day moving average but the 50 day may be a "pause point".
Back on Nov. 13 we said in "First Solar Option Maximum Pain at $135.00 Strike (FSLR)":
...Max pain is related to options "pinning" where the stock settles near (within pennies of) a strike price on expiration day.
[he knows expiration is actually the next day, ask him about the friend who cleared BSC and got a call from Ace Greenberg: "Where's my fucking ten million dollars?". Close those positions if you don't want them exercised. -ed]

Eyeballing the chart, $120 looks as if it might offer some resistance. The stock is currently up $4.03 at $119.40, close enough for me....
The stock closed on options expiration day at $121.18.

The company has a webcast coming up, December 16. The last time they did this we bailed on a (profitable) short, the stock popped eight bucks and we got a second shot at the short side. You can read about it in "First Solar: Chicken Trader Pulling the Plug (FSLR)"