TripAdvisor (TRIP) has been in a downtrend for a number of years.
Shares could make a bear market rally, but it looks like the best strategy is to take a vacation from TripAdvisor.
In this 12-month daily chart of TRIP, above, we can see TRIP traded sideways between $60 and $70 until the $60 support level was clearly broken in November. Prices gapped low on heavy volume and have tried to stabilize. Prices have managed to rally above the 50-day moving average line, but the declining 200-day average is above the market. The On-Balance-Volume (OBV) line has weakened the past year and the recent improvement in the line doesn't suggest TRIP can support a turnaround.
This weekly chart of TRIP, above, looks like a vacation gone wrong. Prices are below the declining 40-week moving average line and this chart shows the $60-$70 area is going to be a big barrier to any rally, as this former support zone reverses roles and becomes serious resistance. The OBV line is weak and the MACD oscillator has been below the zero line all year. The MACD oscillator looks like it is signaling a cover-shorts buy signal, but an outright go-long signal is not just around the corner.
This Point and Figure chart of TRIP, above, shows both the possible upside target of $67 but also the large resistance zone to be overcome before TRIP can really advance.
Bottom line: TRIP needs a long repair process to create a bottom. Until that happens, a better time could be had elsewhere.