Hewlett Packard stock could be setting up a Symmetrical Triangle breakout pattern.
Large players volume is rising into the apex of the Symmetrical Triangle pattern which is bullish. Last Monday, April 16, 2018, a bullish Pocket Pivot signal (blue dot) occurred. The Twiggs Money Flow is rising but is still negative.
I can’t quite pull the trigger on Hewlett Packard stock folks. Computer and Technology stocks have been dumped over the last month so it’s vital that we identify a catalyst in our trades. I can’t find a compelling enough catalyst that would justify a Symmetrical Triangle breakout in this brutal market.
But here is the crazy thing. There is bullish unusual volume in Hewlett Packard’s options. On Friday, April 20, 2018, 5,983 calls were traded which represents 3x the average daily call volume in HPE stock. Most of the call buying occurred in the $17.50 strike with an expiration date of May 4, 2018.
Most analysts have a hold rating on HPE stock.
To be clear, I do not give HPE stock a buy rating. However, I’m really split on that decision and so I wanted to make you aware of the HPE stock setup.