Chipotle reports earnings after the close, 2/2 2017
I’ve been a Chipotle bull calling for a comeback for quite some time now.
See my original video on CMG talking about buying it around $400
I talk about the pattern and the possibility of the counter trend rally occurring in depth.
The stock has run up slightly into earnings from $353 on the lows to $425 currently
The stock is pricing in around $20 move in the options market post earnings.
Short interest is high around 20%
Analysts at Maxim downgraded the stock citing “avocado problems”
If you having avocado problems I feel bad for you son’
CMG daily has breached the all important 200 period Simple Moving Average and is holding the 10 EMA heading into earnings
I feel the downside is too much, it was oversold and I’m looking for a “squeeze em’ Sally Rally”
*Disclosure: I Own calls and Common stock in CMG
Wish me Luck 😀