Hello fellow traders and investors, here's another trade idea. AFRM has recently pulled back to the support area, if AFRM makes a full recovery it offers around a 70% ROI.
Technicals: The Macd indicates that it's oversold The EMA's are in a downtrend The RSI is oversold
When To Buy: When the Macd indicates a reversal by crossing its EMA. When EMA's crossover. If you like to be more conservative I recommend waiting for the break above the trendline.
When To Sell: I recommend selling at its previous high offering around a 70% ROI.
Fundamentals: AFRM operates a platform for digital and mobile-first commerce. It offers integrated checkout, virtual cards, split pay, Affirm's app and marketplace, and savings accounts. Basically, if you buy let's say 100$ worth of something you get to pay that in monthly payments using Affirm. Their sales growth Q/Q is 52%, earnings per share growth of 33% Q/Q, unfortunately, their ROI is -20.60% so they are not yet profitable.
Rating: 50/100 the technicals are good but I don't really like companies that aren't profitable however with their strong growth they should be able to become profitable but this is why it got 50/100.
NOTE: I might be buying some shares at the market open depending on market conditions.
I hope you enjoyed this quick analysis and many more to come. If you enjoyed leave a like, follow, comment your thoughts and share this trade idea. Thanks.
your analysis is spot on! Couldn't agree more, reason why I already repurchased some shares
UnknownUnicorn11084119
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@foxbelex, I will most likely purchase some shares as well when it breaks above the trendline. Good luck :)
foxbelex
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@TradeTheTrends,
thanks, I am aware that my entry was a bit early and therefore riskier, but I wanted to take advantage of the double bottom support around $76
UnknownUnicorn11084119
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@foxbelex Ya definitely a nice entry but make sure to watch your position size since you are getting in before indication of a reversal
your analysis is spot on! Couldn't agree more, reason why I already repurchased some shares