MPEL had a bearish cross as indicated by the Tenkan sen and Kijun sen.
Currently, the price is just trading around the Kijun sen (trend line); which suggest that it is still hanging on to this support level ($5.03).
It may rebound off this level or it can also continue downwards. If it goes down, we will look for support at around $4.63
Note:
- MPEL is reporting earning on Apr 28.
I shorted MPEL when it got oversold a couple of days back.
For the last 2 days, I feel that it doesn’t seems to drop much further and this is confirmed yesterday when upon opening, the price did not go below the Kijun sen and there is a fair amount of volume transacted within the first 2 hours of trading.
With the support at Kijun sen and the price action-volume going on, I close my short position and is now long on MPEL with a Covered Call to guard against the possible weakness from the major indices including RUT.
Thinking of taking a swing trade on MPEL.
But, is wondering should I include casino stocks in my portfolio. (silly question…I am in one big casino itself…but still….)
