The Long Investor

$SQ

Added 2023-10-06 20:50:15 +0000 UTC

I know many are eager to either add to their positions here or start a new position.

We have been watching this for awhile now and since it lost the blue line at $55, it has been on a fast track straight to the yellow trend line.

So we have been monitoring if it can hold the trend line at $40.50 or does it go lower to the bottom blue line at the covid low line at $31.

These are questions that we can't predict nor should we either, the price holds support when it wants to and if bulls decide that there is enough value now available to start moving in heavy, then they will

I certainly like it at $40.50 and believe there is value here......however, at $31, I simply can not ignore $SQ if it goes this low and I will be buying a lot if the price reduces to here.

So far the price action hit the trend line exactly at $40.50 and has bounced, the market had a good day today and bounced strong but I believe this is because the market believes that the Fed will not pivot until next year now and that we have another leg up to run until the end of the year.

We were planning for this and this is what we are getting......this does put pressure on banks and financial stocks however, as high interest rates for longer is not necessarily a good thing as people won't be able to afford to borrow (simply put)

So although the market should rally now or shortly, the banking stocks are still under pressure and we simply can not rule out this going lower to $31.

That being said, if it we start seeing positive signs of a reversal here, we will be all over it and I will update as much as I can.