HOG profit-taking time; a good short.
Wallstrip, one of my favorite sites, featured HOG (Harley Davidson) on Monday, and I just now had a look at the technicals for it.
HOG has certainly done some impressive things this year.
And no doubt there are plenty who believe the ride is not yet over……. but I would remind them of the saying …… “HOGS get slaughtered”.
There are very real technical reasons to take the profits off the table and wait for the correctives if you still like this company’s prospects. Some may even want to consider shorting this hog.
For a short, the logic target is the completion area for the abc correctives on the daily….estimated at $57.00 to $59.00ish, which is supported by Fib retracement theory. 61.8% retracement of the impulsive move from June is $56.43 or 16.6% profit shorting current levels. The logic stop is above the Head on the daily chart, around $70.20. Risk is 3.7%. R/R is about 4.5.
