Move Inc. is On the Move (MOVE, Z, TRLA)

No, it's not a Trulia Inc. (NYSE:TRLA) or a Zillow Inc. (NASDAQ:Z). In fact, it's not even close to being a Zillow or a Trulia. Yet, for the time being anyway, Move Inc. (NASDAQ:MOVE) may be the best trade within the online real estate group right now.

For those not familiar with it, Move Inc. is.... well, it's a lot of things, all of which are aimed at homebuyers ready to make a purchase or sale of a home. Although it's not a carbon copy of Zillow or a Trulia - which provide information about individual homes for sale to help people find a house and determine if it's a good fit and worth the price - TRLA and Z are still very relevant comparisons.

So the recent buzz surrounding Zillow and Trulia is infecting Move Inc. in a positive way? Maybe, though even that association isn't the core of the reason a newcomer may want to take on a position in MOVE today. No, the reason a traded may want to get into Move Inc. soon (as in today) is much lower-brow than that.... it's because the chart says the selling is over and a bounce has begun.

You can sense the reversal on the daily chart of MOVE, but to do the theory justice, you really have to zoom out to a weekly chart. That's what you'll see below. After a major pullback from a peak of $18.36 in October of last year to a low of $9.98 last week, MOVE was due for a rebound. And, last week's bar - with an open and close near the high for the week but a long-tailed low - suggests the last of the sellers were flushed out , and the first of the buyers are now trickling in... a proverbial changing of the guard from a net-bearish to a net-bullish situation. That fact that the bulls have followed-through this week confirms the rebound effort.

With all of that being said, the underpinnings for the technical move may be more fundamentally-based than it seems on the surface. Yesterday the company announced it would be releasing last quarter's earnings numbers on May 6th. Odds are good that some people knew they were on the way, but more than that, given the pre-earnings action, it seems that "somebody knows something". This strong rebound effort appears to have materialized out of nowhere, but nothing ever happens in the market for no reason. It looks like somebody out there is making a bet that things are going to be encouraging when the company unveils Q1's numbers.

Do we take that hint being dropped by speculators? Ya know, the crowd is right - even if they don't know they're right - a surprising amount of the time. Translation: Yes, the potential reward from that hint is worth the risk.

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