NWF
- First time doing a written analysis on NWF
- Overall price action before mid-June isn’t attractive -> can signal to a lack of interest in the stock
- Low average volume -> Below 300k
- Low volatility uptrend with almost no pullbacks -> calm waters doesn’t mean there aren’t any crocodiles in them
Pros
- Since 2021, stock respects the moving averages
- Quiet uptrend -> usually signals a short-term uptrend
Cons
- I’m not comfortable with penny stocks (less than 50 cents in my book)
- Low daily average volume -> Price can move up/down suddenly if there is a huge purchase/selloff
Summary
- Yesterday’s retracement got me excited to see whether a successful rebound will happen
- Today’s gap down and crash below the two previously respected moving average supports is too drastic. Almost as if the supports didn’t exist
- In hindsight, the quiet uptrend looks like investors getting excited about the corporate action
- Strategy-to-buy (DYOR) – Suggest waiting for a series of Higher Highs (HHs) and Higher Lows (HLs)
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Text me if you have any questions for me.
- First time doing a written analysis on NWF
- Overall price action before mid-June isn’t attractive -> can signal to a lack of interest in the stock
- Low average volume -> Below 300k
- Low volatility uptrend with almost no pullbacks -> calm waters doesn’t mean there aren’t any crocodiles in them
Pros
- Since 2021, stock respects the moving averages
- Quiet uptrend -> usually signals a short-term uptrend
Cons
- I’m not comfortable with penny stocks (less than 50 cents in my book)
- Low daily average volume -> Price can move up/down suddenly if there is a huge purchase/selloff
Summary
- Yesterday’s retracement got me excited to see whether a successful rebound will happen
- Today’s gap down and crash below the two previously respected moving average supports is too drastic. Almost as if the supports didn’t exist
- In hindsight, the quiet uptrend looks like investors getting excited about the corporate action
- Strategy-to-buy (DYOR) – Suggest waiting for a series of Higher Highs (HHs) and Higher Lows (HLs)
-----
Text me if you have any questions for me.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.