Five Below: One Retailer Amazon Can’t Kill

Published on
May 16th, 2019
Duration
20 minutes

Five Below: One Retailer Amazon Can’t Kill

Technical Trader ·
Featuring Louis Llanes

Published on: May 16th, 2019 • Duration: 20 minutes

Louis Llanes, CMT, CFA, founder of Wealthnet Investments, feels extremely confident about the current setup for discount retailer Five Below. He runs through the strong fundamental backdrop, points out key levels to watch out for from a technical perspective, and acknowledges a few risks for the trade. Filmed on May 14, 2019 in Englewood, Colorado.

Comments

Transcript

  • AV
    Adam V.
    18 May 2019 @ 23:18
    Appreciate the analysis. However, the chart already looks like the bull trend is over for now. Failed two weeks ago by dropping below ascending wedge as well as neckline of inverse head and shoulder pattern around $132.
    • LL
      Louis L.
      20 May 2019 @ 01:44
      You may he right. I will say though some of my best entries have occurred when that shorter timeframe looks bearish as you outline, but the trend is up and fundamentals are strong. When short term technicals look obviously bearish sometimes those signals get crushed as longer Term players but the liquidity from weak hands. We will see. I think the success of this trade hinges on their earnings in June and general market sentiment. This is s higher risk trade as I mentioned. Thanks for input.
  • CH
    Colin H.
    17 May 2019 @ 16:08
    Love this guy's analysis
  • AB
    Anne-Marie B.
    16 May 2019 @ 18:31
    What a fabulous and clear description. Clarity and precision...without too many words. Well done
  • JM
    Jim M.
    16 May 2019 @ 13:11
    I like Louis, very engaging guy with thorough, well thought out presentations. I'd like to suggest to RV that they track the results of prior Trade Ideas from each contributor. Even something as simple `Ups vs Downs of prices from published dates. Of course, a more detailed performance review is even better.
  • DK
    Dimitris K.
    16 May 2019 @ 12:38
    Great fundamental and technical combined analysis (as always...) from Louis Llanes. One question: Does anybody knows whether Market Profile Graph and/or AVWAP analysis available on Bloomberg Professional platform?