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Taking On Bill Ackman

Published 05/09/2014, 01:01 AM
Updated 05/14/2017, 06:45 AM
HLF
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I think I could take him in a fight. He seems like a pretty boy. But, aside from dealing with his traders (who are major pains in the ass) he has never done anything to me worth taking a swing at him. So, I will take him on in the battle field of the market. And, specifically in one of his preferred shorts, Herbalife LTD (NYSE:HLF).

I have a condition though. I will only engage in the battle if the stock moves over 62.50. It looks promising to me that we will fight as the stock has made a higher low and a higher high. It has a rising RSI and MACD to support more upside and the Bollinger bands are pointing higher. The chart below illustrates all this. There is other supporting technical evidence too. The 3 box Point and Figure chart carries a price objective to 83 above. If it gets there I will declare victory, showing mercy, since I know Ackman never uses a stop loss and never thinks he is wrong. One more thing. I do use stops, so that I can live to fight another battle. The area where the 20 and 50 day Simple Moving Averages cross at 58 is a natural spot or the bottom of the red zone. Good luck to you old silver haired man.

HLF D Chart
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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