Pinterest is worth your interest

Pinterest #PINS is a fast-growing company with favorable demographics, the stock has dropped in price while outperforming expectations.

PINS stock forecast 2020

Pinterest (PINS) debuted on the public markets less than a year ago at a price of $23.75. Since that time, Pinterest has dropped in price by a great percentage and do not thing for a moment that the coronavirus is to blame 🙂

The interesting part is that Pinterest has actually been profitable and has beaten earnings estimates in the last quarters. So why is it that Pinterest is dropping strongly, why? Because fundamentals are not that important when trading a supply and demand strategy.

Pinterest stock price forecast

I’ve happened to read that some analysts are claiming that Pinterest #PINS is a buy for anyone with at least a two-year time horizon. Well, it may be that Pinterest stock will be revalued in two years time, but why buying Pinterest now and lock in part of your capital in a stock that is dropping like a rock reacting to super strong weekly supply zones?

It makes no sense how some analysts and web sites are recommending buying Pinterest stock to hold it for two years when the stock is in a clear downtrend.

Take a look at Pinterest #PINS supply and demand weekly timeframe analysis. There is a strong weekly supply around $25 per share, these supply zones act like magnets to price, a price level where there are a lot of interest by professional investors.

PINS stock price prediction chart

Pinterest #PINS weekly downtrend

Pinterest #PINS stock has reacted to that strong weekly imbalance as expected, this is the type of analysis we do in Set and Forget trading community, we actually had this imbalance shared when it was created and that’s where we wanted to trade Pinterest #PINS stock.

Weekly is in a clear downtrend with new supply imbalances created and breaking all time lows. Buying Pinterest #PINS stock now is a waste of resources and a silly way to lock in part of your capital doing absolutely nothing.

Pinterest stock analysis

Pinterest #PINS is a visual discovery engine for finding ideas like recipes, home and style inspiration, new places to travel, photography and much more. Pinterest users utilize pins to share ideas amongst users, these pins are basically images or videos that users can post on their boards (like Facebook walls) for others to see.

Alfonso Moreno
Alfonso Moreno
Full time trader, expert technical analyst and founder of Set and Forget supply and demand online trading community. Traveler, photographer and adventurer.

1 Comment

  1. Howard says:

    what’s also important is that your bias is in line with the weekly trend

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