It’s a long-established player in the betting field, but Webis needs positive news, and fast.
Webis Holdings (LSE:WEB) owns subsidiaries which trade in the gaming and technology sectors, operating from Isle of Man and the US. We’ve been just a little curious as to their prospects, due to worldwide lockdowns effectively trashing their ability to offer wagers on a large number of racetracks globally.
Given the change in US facilities for sports betting gradually expanding as each state enacts new legislation, allowing the country to effectively catch up with the UK by betting via Mobile Apps and Desktop.
Our curiosity is pretty basic, wondering if the company shall indeed take advantage of the change in US regulations, especially as New York and California go through the process of licensing.
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To be blunt, we suspect the US tax authorities took quite a hit from the loss of gambling income and desperately are encouraging individual states to seek additional income streams from gambling duties and taxes, available from online betting.
Long story short, our belief is it shall doubtless be worth taking a hard look at what Webis have planned as the company is a long-established player in the betting field. Unfortunately, there’s an immediate requirement for Webis to enjoy a bit of positive news, given the threat to their share price presently making itself apparent.
Our immediate scenario suggests the following. Price movement below 3.9p (aka the current share price) risks promoting share reversal toward an initial 2.7p. If broken, our longer-term secondary calculates down at 1.4p and we’d hope for a bounce should such a level make an appearance.
We’ve a pretty solid reason to hope for some sort of bounce from the current 3.9p level but, unfortunately, the share needs some substantial movement just to give the first clue any rebound has integrity.
Apparently, above 5.3p should bring movement to an initial 5.75p which, if exceeded, ticks the first box for hope for the future. Our secondary computes at 6.8p but, importantly, given the circled area on the chart from earlier this year, it will be reasonable to anticipate such ambition being ignored as the share could simply power on upward toward 8.9p.
Above such a level and we shall need to take a further look into the crystal ball for the longer term.
Source: Trends and Targets. Past performance is not a guide to future performance
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
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