$OPEN - Falling Through the Trap Door

A good trading friend of mine asked for a fresh set of eyes on OPEN. I figured I would share here.

I don't like the impersonal style of this company. When people sell a home- they want a personal relationship with their realtor.

Anyone with their chops would tell you it's best to expose the house to the market and let a bidding war take place. This model is smart, but I would never suggest friends or family use Opendoor.

Considering higher rates coming and dropping home sale numbers, look for this name to continue to fall further after a failed breakout and rejection. Especially after missing earnings recently.

More information about OPEN from their website:

"Opendoor is a leading digital platform for residential real estate. In 2014, we set out to reinvent life’s most important transaction with a new, radically simple way to buy and sell your home. We have rebuilt the entire consumer real estate experience and have made buying and selling possible on a mobile device. We’ve served tens of thousands of customers who have come to Opendoor to make their moves easier. Whether it’s getting married, starting a family, taking a new job or simply making a life change, we help people get to their next chapter in one simple, seamless transaction. Our mission is to empower everyone with the freedom to move.

Opendoor currently operates in a growing number of cities and neighborhoods across the country. A full view of the markets we serve can be found here. Headquartered in San Francisco, we are a team of problem solvers, innovators, and operators building the largest, most trusted platform for residential real estate."