MercadoLibre – We talked about this one on Fast Money right before numbers

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We talked about this one on Fast Money right before numbers as we discussed other frothy internet names in our old tech vs. new tech discussion.

[caption id="attachment_52257" align="alignright" width="220"] Meet the eBay of Latin America Meet the eBay of Latin America[/caption]

My call was you can't own these into numbers with both the valuation and the charts where they were.

This was the right call - they missed and the stock dropped 20% over a few sessions (24% overall from the highs) before settling down.

Technically the stock now looks interesting to own with a stop around $100.  Remember with a name like MercadoLibre ( MELI , quote )  you have to set a slightly wider stop, even on a tight stop, due to the inherent volatility in this name.

The stock is clinging to the 50 day moving average here after a few days of testing.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , International , Stocks

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