Hertz

Hertz looks very oversold here with an RSI of 28. Recently there were some news about the company reporting acoounting irregularities which resulted the stock price to drop almost 11%. Hertz also warned investors that its earnings in the most recent quarter, results for which have not been released yet, will likely come in below estimates due to new costs related to restructuring its balance sheet. They will report on July 28, 2014. But looking at the chart we can see that the stock price is very close to the 200sma. It also has strong support at 25.36. I will keep a close watch on the price for a better entry going long. Also for options the calls to put ratio is very high. I will add some calls here and if it goes further down I will add some more.

Buy Area: 26.50 - 26.03

Target: 29.71 - 30.54

Important date: Earnings on July 28 2014