Marissa’s Money

marissa

I don’t know when/if $YHOO will ever make from the Tumblr deal. Maybe she just made another teenager a billionaire on that one.

Over the course of the next couple of months, speculation will run rampant regarding the use of the $30-40 billion she will make on the Alibaba deal.

Acquisition targets that have already been bandied about include $YELP and maybe $AOL. Other private companies like Gawker and Buzzfeed have also been mentioned.

Here is a look at the charts of both. I bought both today because I like their charts, not because I think they will be bought.

$AOL – I love a good wedge. I also like the fact that this one has 200 day moving average support just below current prices, so risk is defined. I never put my sop right the 200 day (sometimes they overshoot the level and then rally hard), so stops should be a bit below.

aol

$YELP has been under pressure through this most recent pullback. I bought today off that 50 day moving average that I trust will hold for now. In a better tape I still think this has momentum to be north of $100 for a trade.

yelp

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Joe Donohue

Joe is a full time trader with 25 years experience. He is a senior contributor and investor in Stocktwits and has been seen on CNN Money and quoted in Marketwatch, Forbes, Reuters, NY Times and Wall Street Journal.