MeetMe: Right Stock, Wrong Time (MEET)

With today's 15% pop just staring you in the face, it would be tempting for current MeetMe Inc. (NYSEMKT:MEET) shareholders to lock their profit in and walk away. It would also be a mistake, though. See, while MEET is admittedly a volatile mess in the short run, for the long haul, there's a lot more upside left to tap.

If the idea and the ticker seem familiar, it may be because yours truly penned some bullish thoughts on MEET back on February 7th.... and October 29th, and October 23rd, and October 18th, and July 18th, and July 8th.... you get the idea. And, while it's been an exhausting journey with lots and twists and turns, MeetMe Inc. shares are now up 60% since my love affair with the stock began back in the middle of last year.

I don't come here to gloat, however. I'm revisiting MeetMe again today to reiterate a point I've made about it several times since starting to log the saga - there's a ton of upside potential here, that could last for months, and end up creating strong triple-digit gains. You just have to take a step back and look at a long-term, weekly chart of MEET to see it. So, that's what we'll do.

There are two things to note about this longer-term chart: (1) Although it's been up-and-down for years, as of the past few months, there's more 'up' than 'down' for MEET now [see the rising MACD lines, both now above the zero level], and, (2) there's plenty of volume behind the current bullishness from MeetMe, telling us it's got the participation it needs to last [one of the missing ingredients of the prior breakout attempts].

Between those two nuances and the fact that this stock was trading at $10.00 just a few years ago, there's a ton of room to recover here... and MeetMe Inc. is acting like it wants to use all of that potential.

With all of that being said, as bullish as MEET may be in the long run, today isn't the time to step into a new trade. Between this morning's opening gap and the stock's usual ebb and flow, odds are good that MeetMe shares could pull back to the $2.50-ish level again sooner than later. That's the spot where you'd want to wade into this impressive but admittedly volatile long-term uptrend.

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