Sq upstart

Mar 20, 2022 08:16 PM 0 Answers
Member Since Jan 2022
Subscribed Subscribe Not subscribe

Is it too late to get in?

I don't think so!

SQ-DAILY Has made a powerful move off the bottom with volume. If you look at the daily you can see that once it traded above its 50sma it made a big move with volume. Typically, I like to wait until I see that bounce above the 50sma as that level can be resistance. The risk/reward is on our side with this stock. A run to $180-$190 is  a real possibility.SQ -WEEKLY If you look at the weekly chart (which I prefer) then you can easily see the reversal candle last week. This is likely the start of a move higher. This is a "reversion to the mean" trade. Maybe the stock was over valued at $290? But, it may also be undervalued at $140. If it shows any weakness tomorrow that would be a good time to buy.

UPST-DAILY I actually like this stock a little more than SQ. This stock has smaller market cap, and far less shares in the float and it will move quicker when the demand surges. The stock just traded above its 50sma on Friday. It may just be getting started on its way back to the $180-$190 area, and it can get there quickly. Again this is a "reversion to the mean" trade as UPST may be overvalued at $400 and undervalued at $125.  The stock is still 68% off its highs.UPST-WEEKLY The weekly chart show the reversal candle. If it can trade above last weeks high of  $134.94 that will be a place that I will add to my position.I am expecting the Nasdaq to have some resistance at its 50sma and tech may be a little weak? But, if it blasts right through that level it is time for me to become really aggressive.

As always I will use that 5% stop-loss in case the trade backs up on me.

I hope this answers your question!



1 Subscribers
Submit Answer
Please login to submit answer.
0 Answers
Sort By: