Gaming is huge and is an area that has taken a bit of a hit as the economy has hit multiple headwinds. But with diligent scanning it is possible to find an outlier that is defying the rest of the sector. EA sports is a major player in the gaming space and the markets pushed it down hard at the beginning of the month. It was quite possibly an overreaction and EA is building the foundations of a move to recover some of that panic selling.
It has held pretty flat since it dropped and new reports indicate they have a strong pipeline of new games on the horizon. This could be a bargain. We are watching the MACD to crossover and get a break above its 10 day moving average to give us some confirmation.
Finding these outliers can be tough, but Keith Harwood got it down to a science when he worked as a market maker. If you are interested in how he does it and getting access to the list of outliers he spots, click here.
Keep learning and trade wisely,
Market Wealth Daily