SINA Corp (NASDAQ: SINA)

SINA Corporation, through its subsidiaries, operates as an online media company in the People’s Republic of China. It operates SINA.com, an online brand advertising portal that provides region-focused format and content, including multimedia news, sporting events news, automobile-related news, business news coverage and personal finance columns, entertainment news and events, technology updates, digital products reviews, luxury goods and services, collectibles, and video products, as well as an interactive platform for fashion-conscious users to share comments and ideas on health, cosmetics, and beauty topics.
Take a look at the 1-year chart of Sina (NASDAQ: SINA) with my added notations:

After its steep decline from January into May, SINA has been essentially range bound for the last 3 months. Over that period of time the stock has formed a resistance area around $50 (red). In addition, the stock has also created a clear level of support at $45 (blue). At some point the stock will have to break one of the two levels created by SINA’s trading range.

The Tale of the Tape: SINA has a clear level of support at $45 and a resistance area near $50. The possible long positions on the stock would be either on a pullback to $45, or on a breakout above $50. The ideal short opportunities would be on a break below $45, or on a rally back up to $50.
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