The recent hack of ebay by hackers unknown has sent a shock wave through the web.
Sadly people use the same password for multiple sites so the hacking of eBay opens up to fraudsters a goldmine of opportunity if the can decrypt what they have stolen from eBay.
As such expect to have many requests to change your password going forwards.
I’m an eBay user. As a collector, how could I not be. I’ve been an eBay for perhaps 15 years. I can’t be sure because I can no longer access my account.
Ebay is making me change my password, but the email I used then over a decade ago, doesn’t seem to reach me anymore and the phone number they have for me is so old I don’t even recognise it. I can call their customer services to pick a new password… one day maybe.
This process is a major hit to the temple for eBay. The site relies of momentum as do most internet properties. In one shot they have lost a lot of that momentum.
Am I going to reregister a virgin account to buy the sort of junk I like? Not in a hurry.
Am I going to wait in a queue for hours to speak to someone about changing my password? Not if I can help it.
Is my eBay habit strong enough to push me through all those hoops? Probably at some point but not soon.
As an old user I of course hold a lot of value and that asset is now in deep freeze. There must be an ocean of users in this sorry state.
It can do ebay near term anything but a lot of harm.
However Im not one to cry over spilled milk. This kind of minor disaster is as unavoidable as trucks crashing on a freeway. Sites will crash, be hacked, post stupid stuff. Accidents happen and I feel sorry for the people at eBay and the users that have been robbed by the scum criminals that attacked this fantastic site.
But Im an investor before Im a collector so my first instinct is to look at the ebay chart.
Wow, now here is an interesting set up.
Charts aren’t destiny, but when a situation shouts out to you, you have to look at it closely.
You wouldn’t want to be buying ebay under $50. The company is clearly in a rut and if an event were to knock it below $50, then the story would have changed. You can see that the market has a think for ebay and round numbers, so a break below $50 could easily see this super company at $40 or even $30.
Personally I’m not a shorter and I trade only the blindingly obvious situations and short even less frequently. I’m an investor, so for me the alerts are in for $40.50 and $31.
Ebay is not going to do a Blackberry, not unless it loses its mind, but this hack is going to disrupt the company significantly.
As such this is the chart to watch. Hopefully it will stay in its $50-$60 channel but if it bearks down it’s a high probability trade that things are going to go from bad to worse before things get back to normal.
If it comes, in the long run, buying that dip will be a solid opportunity.