The SNAP Stock Price

While SNAP stock was upgraded at Barclays, Evercore ISI doesn’t have much love. Analysts are using a $7 price target to go along with their underperform rating. That’s sapping some of the gains from the SNAP stock price on Monday, but overall, it’s still up big this week.

To me, SNAP stock is in no man’s land. It’s well off its lows near $12 and through temporary resistance/possible support at $13, but a ways away from its IPO price of $17. That’s the upside target for bulls in my view.

For those looking to buy SNAP stock, they could use the 50-day moving average at $14.28 as their stop-loss. This level hasn’t proven to be very significant in the past for SNAP stock and it would be purely for risks mitigation purposes. Perhaps waiting for a pullback to $13 would be the most prudent.

I’ll acknowledge this strategy isn’t much help, but shares have gone from $13 to $15 relatively fast. Now we’re sort of in the middle — not a buy, not a sell — and don’t have much of an edge at current prices.

Let’s wait for a better opportunity.

Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities.