I have never been a fan off charts and gaps etc because as you stated for a stock like AEO free float is so small anything major can have massive effects on the SP.
Charts seem to work for very liquid stocks.
But cannot dispute the pattern for AEO which is amazing considering the liquidity
AEO is fuelling up ready for take off.
The time is now to buy if sat on the fence as I think we will never again see under 70p and short term target is 100p based on hopefully new CEO RNS next week with a bullish tone and confirmation of year end figures.
Since the arrival off Hale AEO have made huge moves forward.
The world economy is expanding and we are a new bull phase cycle and these tend to run for 7 to 10 years.
AEO are perfectly positioned.
Yesterday the spread was 71 to 77 yet all the 72.3 trades where buys and obviously he 69p sells so actual spread was 69 to 72.5
Why do that ? Unless you are masking something
Same today all buys bar the one sell.
Yet we are down
The only explanation is the options sellers MM trying to shift the remaining stock at 69p prior to news release next week from new CEO.
Otherwise never seem anything it
Just good to get exposure and see your the professional see AEO short medium and long term compared to how I view them.
I have been very accurate at predicting so far and stated back in 2013 AEO would hit between 500 and 600k FY and came in for some heavy criticism as that was far to optimistic
But following the half year figures which where actually better than I expected I was very confident of 500k and this was proved with the RNS.
But moving forward I feel a little in the dark because AEO need a strategy to continue this very impressive growth whilst maintaining customer excellence, flare and artistic brilliance which I feel is market leading.
So for 2014/15 if they simply hobble current forecasts of 600k sound about right and still leave us on a low PE for the sector.
But Hale has IMHO a long term strategy and this has been to stabilise and grow ( tick)
We are now in the new phase as stated in the new CEO RNS and this could be explosive, all the AEO directors are very well connected and now with the new CEO would be a star share for 2014/15
So currently my SP forecasts are
Short term 100 to 140
Medium term 300p
Long term (5years) 500 to 700p
All very achievable with the management team in place if the strategy moving forward proves to be a success
Good point would be good to know Faradays TP, I also expect the 90p brokers TP to be significantly revised follow FY results coupled with new CEO strategy moving forward.
Very exciting time
Are you stating AEO have been mentioned by Faraday research ?
If so can you post a link as seems to be a site that requires membership.
Excellent if we are now starting to get noticed and so we should.
All buys so far this morning the MMs have a sniff off good news and not holding back taking her up.
Back to test 90p yer high very soon ie next week if we do get news and bullish which I have no doubt it will be :)