It's a tough call. There are many people out there who wish they had taken a chance on Ford; one friend of mine in particular bemoans the fact that he almost bought in, but didn't (just the way it goes, unfortunately -- we've all been there). Now comes what could be a buying opportunity. Is it?

You have to understand that the market was reacting to a significant earnings miss, something that hasn't happened to this business in a very long time. Wall Street was shaken by the news that adjusted Q4 operating profit came in at 30 cents per share when expectations were set at 48 cents per share.

Such failure is hard to ignore. Although I would love to say that Ford is a buy on the dips (really, the chart almost begs you in certain respects to take advantage of pullbacks), I'm going to have to give the stock a pass at this point. Wait until the shares show definitive evidence of hitting a firm level of support before committing any money to a trade (assuming that the thesis gives you a fundamental reason to go along with the technical logic for sending in a buy order).

Disclosure: I don't own any company mentioned; positions can change without notice.