On June 26, 2014 Go Pro (GPRO) went public at $24.00 a share and moved up 30% the first day of trading. The second day it increased by 14% and by the fourth day of trading GPRO had moved up over 100% since its IPO.
If the stock can build some nice demand and lay a solid foundation of price support it may be a nice ride upward on GPRO. Since the stock is fairly new we have little price off daily to build a good price review so I am going to use the 60 minute chart.
After the big run up on GPRO, the stock pulled in looking for some price support. It tried to hold the 42.00 to 44.00 area but failed. This area created some overhead supply. It has had two pullbacks to 36.00 that have held showing us that there is some price support into that area. Watch for price support to build into $33.00 – $36.00 area.
Trade Setup
Buy GPRO into the buy zone of $33.00 to $36.00.
Stop place under IPO low around $28.50.
Target for prior high at $49.00 to $75.00.
On a side note, I personally bought a GoPro camera myself and they are absolutely amazing.
Disclaimer: I have no position in the stock as of writing this article.
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