Solarcity have a big vision, they have the morel high ground and a visionary leader as the founder of the company. These three combinations are hard to made a trade against. If you look at the analyst
recommendations on the company you would be hard to find anyone who is anything other than positive. One analyst even suggesting the price target of over $100 per share.
The company has not made a profit, but has good cash flow. The one thing this company has going for it is the year on year growth, 70-80%. if they can keep this going the analysts would obviously be right., however profit is king when it comes to investors.
So this sets us up with a short term trade, positioning with the huge positive psychology of the buyers. Buying into a dip to catch a wave of positive sentiment and high recommendations from analysts. Anything under $50 with a stop just below the $46 resistance line. Good risk reward ration with an initial target of $60
Wary of the next quarter earnings report, this could go against us when they are released, may look to get out of the trade before then, unless signs are really good with the company. This might provide a new trade setup in either direction.