Q: I've been monitoring questions on NTR for some time, and you've been fairly consistent about $65 being a level to buy. This afternoon NTR hit $64.89 and bounced up very quickly to $66.
I wanted to ask -- how did you "guess" that? Was it based on technical analysis? Some type of valuation ratio? Or just a guess? I realize this is only intraday, that you can't always predict the bottom and that it go lower tomorrow, but was wondering how you pick prices to buy in.
I wanted to ask -- how did you "guess" that? Was it based on technical analysis? Some type of valuation ratio? Or just a guess? I realize this is only intraday, that you can't always predict the bottom and that it go lower tomorrow, but was wondering how you pick prices to buy in.
5i Research Answer:
It is a bit of a combination of technicals (NTR had support at $65), sentiment, valuation and trading activity. But there is some guess work involved as well. Entry level price predictions are very difficult and we are not fond of them. We would rather decide to own the stock, or not. If it is going to work out, a $1 or $2 difference is not going to matter much in the long term.