For his "Executive Decision" segment in Tuesday night's "Mad Money" program, TheStreet's Jim Cramer sat down with Josh Silverman, the CEO of Etsy (ETSY) , the online marketplace that posted an eight-cents-a-share earnings beat. Shares of ETSY are up 197% for the year.
With Etsy, buyers can find quality and craftsmanship, and because they're buying directly from the makers, still get those items at a great price. Let's see if the big stock price gains in ETSY can keep going.
In this daily bar chart of ETSY, below, we can see Wednesday's upside price gap and strong rally. Trading volume increased yesterday but there have been days when trading was even heavier. ETSY closed back above the declining 50-day moving average line. Prices got close to the rising 200-day line in late October but the last test of that indicator was back in February.
The daily On-Balance-Volume (OBV) line shows a bullish rise to the end of September and then a decline. The OBV line turned up Wednesday but it needs to move above the September zenith to impress me.
The trend-following Moving Average Convergence Divergence (MACD) oscillator crossed to the upside last month for a cover shorts buy signal. This indicator is still below the zero line and an outright go long signal.
In this weekly bar chart of ETSY, below, we can see a positive set of indicators. Prices are above the rising 40-week moving average line.
The weekly OBV line shows a rise from early 2017 and a minor dip in August and September.
The weekly MACD oscillator has begun to narrow towards a fresh outright go long signal.
In this Point and Figure chart of ETSY, below, we can see the big rally without the price gap. A $72 price target is being projected but a trade at $53.62 is needed for a breakout.
Bottom line strategy: Prices could power higher but the lack of really strong volume on Wednesday tells me that ETSY could trade sideways a bit before trying to move to new high ground.