Tuesday, May 8, 2012
May 8, 2012 - CMG Short opportunity
There are may technical patterns to use on Chipotle's recent daily chart. The one shown above is a head and shoulders reversal that was just broken today. Height is 40 pts which means possible target is 360 short term.
Looking at support, broke through 50 day last week and next support is 100 day at $385 and 200 day at $350
looking at volume, pretty obvious that there is a lot of volume to the downside in the last 3 weeks and none to the upside. Todays volume is about 60% of average volume in only 2 hours. Still have 5 to go.
Disclosure: Short CMG via May 400 puts since two weeks ago