I have been waiting on the sidelines watching this stock. I am amazed at how many people that got upset with the stock. There are even reports that Facebook CEO Mark Zuckerberg and Morgan Stanley are facing lawsuits.
We have mentioned before its IPO not to enter as this is an overhyped stock. I have seen exactly the same thing about VISA IPO and Baidu IPO. These 2 are great companies too! VISA had the largest IPO in history and Baidu is touted to be the Google in China. Both companies after their IPO day, did not do well after that. It takes a few months for them to get back to their feet again. Of course after proving themselves in their Earnings results, their stock price starts to increase.
For Facebook, I stated to let this company go bust first. Indeed it has. It dropped from $42 at opening IPO, to now $26.83 the lowest yesterday, a drop of 36% in 9 short days. But apparently, yesterday is the first day I saw some life in this company.
See the chart:
By 2pm, it suddenly turned up. See the last few minutes? It closed at the highest. No doubt, today this stock has a high chance to continue its climb. It might even gap up at open.Volume is high at closing.
It may be time to check out this stock. On Friday this is one stock that I will definitely pay attention to! Facebook has options already, it may be time to fire....
P.S. Any stock before its first Earnings announcement is definitely a speculative play. Not for the long term value investors....