Lemonade is forming a spring bottom

koryu Updated   
NYSE:LMND   Lemonade, Inc.
Lemonade looks like as it has formed wyckoff spring low. As one of my favorite trade setups I entered a long position today.

Fundamentally I think that with the success of ChatGPT we could see increased interest in AI related stocks, specially in AI language models.

Lemonade (LMND): Lemonade is a provider of insurance-related services. The company is using AI to automate claims processing and underwriting, improve customer engagement, and reduce fraud.

Lemonade (LMND) could be a good use case for AI language models. The company uses AI-based chatbots and natural language processing (NLP) to automate customer interactions and claims processing. This allows customers to easily file claims and get quick responses through the company's mobile app, website or telephone.
One of the main benefits of using AI language models in insurance is that it can help automate repetitive and time-consuming tasks, such as answering customer questions and processing claims. This can not only save time and money for the company, but also improve the customer experience by providing quick and accurate responses. Additionally, by automating the claims process, Lemonade can reduce the risk of fraud, as the AI-based systems are able to detect and flag suspicious claims.

Overall, using AI language models can help Lemonade to streamline its operations, improve the customer experience and reduce costs, which could be beneficial for the company's growth and profitability.
LMND got back into the old trading range confirming the wyckoff spring. It should target the upper range above 30$ now with dips getting bought quickly.
adding to position in this dip. retest of the range low in phase c
earnings beat and up, still 24% short float in LMND
this one didnt play out as expected. usually we dont want to see a retest of the spring. It's unclear if it is just testing it because of the macro environment. currently its seems like its morphing into a falling wedge/ending diagonal. on the bullish side it has a double weekly bullish divergence on the rsi, if this low holds. on the bearish side these wedges also often break down before up so further downside is possible or even downtrend continuation. things would be more easy if it bounces rather soon.


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