Fang Holdings technical notes ahead of earnings
Shares have been in a long-term downtrend since March 2014, with a small move up ahead of earnings off the 52-week lows. If the news is a positive surprise, the uptrend could extend. First notable resistance based on the current price of $3.44 would be at $4.04. Additional resistance levels to watch as potential upside objectives would be at $4.60 and then at the $5 area. A breakout above $5 would break the long-term downtrend with next resistance at $5.25 and then $5.64. With over 7.7% of the float short, there could be a short-squeeze on unexpectedly good news. If the news is a negative surprise, the long-term downtrend would likely resume. Support levels to watch as potential downside objectives would be at $3.12 and then at $2.80 which is the 52-week low. Below the 52-week low next supports would be at $2.53 and then at $2.24.