MOMO gapped higher then closed roughly midbar on 8-16, the day it reported earnings, much as TWLO did on 8-9-16 when TWLO gapped higher on a strong earnings report, only to close the gap and finish midbar.
If you were using the 6/20 moving average lines, or buying only after TWLO found an intraday floor, TWLO would not have been bought at the open. The same goes for MOMO on 8-16. Its 6/20 moving averages then crossed back up later in the day, making it buyable.
MOMO was not mentioned as a buyable gap up but rather as a pocket pivot on 8-15 before earnings. That said, MOMO could have qualified as a buyable gap up, all things considered.
Since it closed its gap, its buyable gap up is nullified but it still should be monitored if you're looking to enter a position. Indeed, it pulled back today and yesterday. Today's move lower was due to the cancelled buyout offer. Nevertheless, the stock is showing signs of strength on huge volume. Keep in mind this is a volatile stock.
MOMO fundamentals are strong with 69.8 mil monthly active users on its social-networking mobile platform. Pretax margin 23%, earnings and sales are soaring, group rank 10.
We discussed TWLO here:
https://www.virtueofselfishinvesting.com/reports/view/buyable-gap-up-twlo-update-using-620-lines
https://www.virtueofselfishinvesting.com/reports/view/buyable-gap-up-twlo-update-2
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