SanDisk beat earnings, but the stock is still sliding. A 2x token doubles that pain.

The news: SanDisk fell as much as 9% to $1,023.92 on Nov 4, while the rest of tech rallied (24/7 Wall St). Kioxia's cautious December-quarter outlook and the Nov 2 Fox Advisors downgrade weighed on it. Consumer revenue was down 29%.

The data: $SNXXB is at $5.40, down 14.6% in 24h, with a low of $5.16. Every bounce has been sold: $6.70 on Nov 4, then $6.68, then $6.38 at 22:00. The 23:00 candle dumped from $6.10 to $5.36. The 1h RSI is 32.9, the 4h RSI is 34.7 and the daily RSI is 29.5. That's oversold, but none of them has turned up yet.

The call (short):

Trigger: a 1h close below $5.16

Stop: $5.70

TP1: $4.90

TP2: $4.64 (the $5.68 to $5.16 swing projected lower)

Oversold leveraged tokens can snap back hard, so size small. For context, I was long at $7.23 earlier. The tape changed, and so did I.

Not financial advice.

Does the Nov 20 8-for-1 split pull buyers back into SanDisk, or does $5.16 give way first?

#ShortHunter