Telling TheStreet's Debra Borchardt how he's trading Sprint in the wake of that report is Scott Redler, chief strategic officer at T3 Live.
Sprint reported a whopping loss of nearly $875 million, or 53 cents a share, on better-than-expected revenue of $8.87 billion dollars.
Redler admitted that when he first started trading Sprint, he did it because of the technical chart pattern, rather than the fundamental story. However, investors who are playing this name with sizeable positions should know what's going on with the fundamentals, too, he said.He pointed out that the chart shows support at $5.50, near the 200-day simple moving average. With the stock currently trading near $5.90, traders could use $5.50 as a stop-loss in order to limit risk. With the rejuvenated share price, he said the stock could continue higher to $6.40, but in order for it to make it back to more than $7, SoftBank, which recently acquired a majority stake in Sprint, will need to come back in with a lot of money. Redler concluded that there are some compelling entry points for traders, but that the price action can get boring when attempting to daytrade it back and forth, especially in a fast-moving market such as this one. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell
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