I nailed DPS's Share Price Action!
Proud to say that I absolutely NAILED DPS share price action.
I wrote an article which got a lot of attention to include a mention from Matt Koppenheffer.
If he's reading this article here's the lowdown...
Articles surfaced Day 1 and 2 on DPS that investors of CADBURY who received shares of DPS were selling off their DPS shares....Mostly because they failed to see the value of DPS.
Patience was needed and I told everyone to stay out until MONDAY. So what happened yesterday and today?
We have enjoyed some good gains as DPS heads to $26 a share by close of tomorrow. After hours trading tonight already has DPS over $26. 3 days to go up +1$?
I think the pace accelerates as more bargain hunters jump on board. I am a believer in the $30 price target of DPS either next week or the week after.
I believe in DPS as a long term play so if we see DPS at over $28 a share.... Expect the RSI to be in the overbought area. DPS at $30 means a sell-off soon. Don't miss out and become the investor who buys DPS at $30. Buy in NOW before it hits $28 as analysts are mostly targeting the share price at $32. Of course a DIVIDEND initiation changes all that! (if only DPS would do it soon)
P.S. I extend my GENCOR Dividend pleading today and also include DPS. We (should) get a small dividend from this company, America's 3rd llargest beverage company. What gives DPS?!
P.P.S. I no longer choose Coke or Pepsi at McDonalds. I always get Dr. Pepper :-) Anything to inflate Dr. Pepper Snapple Group's earnings reports :-) Maybe I'll buy 4 crates of Snapple Drinks next week :-)
However, there are 4 things I look at in a chart that any investor should look at....
1) Parabolic SAR
2) Simple Moving Average
3) Bollinger Bands
and of course the tried and true
Pay attention to the RSI because I am testing a theory that has worked for me.
My formula for figuring out a stocks "True Value" is this (but I apologize because I did not use this formula on TRA or CAGC so my previous article below is pure emotional and no logic):
Stock Price Percentage falls 5%.....RSI falls 10%..... Oversold by 5%
Stock Price Percentage Falls 10% RSI fall 5%.... Overbought by 5%
This formula is completely made up, off the top of my head...don't use it.
However, I used it for FEED when it was $15 a share. I said the true value was $21-22 a share.
It's skyrocketed to $19 a share in a single day. It is hovering around $19 a share.
My fomula may be off by a couple dollars which is a gigantic percentage here. So.... I donno....
Maybe FEED will hit $21-22 a share this week Friday and redeem my crazy formula.