A large short position makes this stock very volatile, but we expect it to appreciate considerably before 2021. We were recently stopped out due to this volatility, and must wait for it to hit our appropriate risk/reward ratio if it can be alerted again. However, we favor a break-out over $18 near term.
We have possible weakness forecast from Thursday through early Monday.
The early part of July should be very kind to Denny’s.
After market update: Denny's issued a secondary offering of approximately 8 million shares at the market after the close Tuesday. The use of proceeds will be used to aid franchisee owners and purchase stock in the open market reducing weak shareholders. This path was taken to re-establish fair shareholder value. We expect weak retail hands to sell early Wednesday and for DENN to be supported around 10$ per share. The average 2 month buy rating for the stock is $15. Expect the Wells Fargo syndicate to place the offering in strong hands and to hold the stock and sell some at higher prices in the coming months ahead. This is good news. We have large banks now motivated and backing DENN.
Gold has a limited upside at $1825, but Silver has potential for $20 this month. After a pullback into next week, we will consider the trade. The metals complex has been very difficult to trade the past 2 months, with the entire complex range-bound in constant whipsaw action. But hard periods of trading are followed by easy periods. Expect the next rally to be the best metals rally we have seen in a decade.
We're waiting on Bitcoin to give us a good entry. Our AI target of November is projected to be a strong high.