Best Buy ( BBY) reported earnings on Wednesday and gave disappointing 2022 guidance. They expect a 13% decline in same-store sales and a sell side firm downgraded the stock. Doesn't sound good, but the stock is trading higher Thursday. Has the bad news been discounted? Let's check out the charts. 
In this daily bar chart of BBY, below, we can see that prices suffered a significant decline over the past eight months. BBY was cut in half, but prices have been improving since the end of June. Prices have rallied above the 50-day moving average line. The daily On-Balance-Volume (OBV) line shows improvement from late May. The trend-following Moving Average Convergence Divergence (MACD) oscillator has crossed the zero line for an outright-buy signal.
In this weekly Japanese candlestick chart of BBY, below, we can see the start of a bottoming process. The weekly OBV line has started to turn upward and the MACD oscillator is crossing to a cover shorts buy signal.
In this daily Point and Figure chart of BBY, below, we can see an upside price target in the $102 area.
In this weekly Point and Figure chart of BBY, below, we can see a $108 price target.
Bottom line strategy: Early in my career on Wall Street, I learned that the news was not as important as the reaction to the news. BBY is rallying despite what appears to be bearish news. That is a positive. The chart could use some further broadening, but we are heading in the right direction.
