It's hard not te be impressed by this wonderful uptrend, even harder to resist not jumping in. I'm glad I didn't do it until now, though I was tempted. I believe the time has come to try and profit from what may be the last push up.
We must first consider market conditions. The tech index, Nasdaq 100 recently dropped a lot, and it looks like it reversead today. Netflix has a great correlation, the only difference is that in 2013 Netflix gained 300%, while the NAS100 a bit under 50%, so Netflix is more attractive.
The main attraction is the great risk reward ratio. Entering now, and setting a stop under 350$ offers a 5% risk. Only 5% , when the previous high is 25% away. That's a great risk reward ratio. No matter what is going to happen, this is a trade I want to be in, the risk/reward ratio is just too attractive. As I said in the chart, I won't be setting any target like I usually do, I will move my stop loss to breakeven if it moves up and leave it there. If I'm right and it will rally, I will look to add.
All the technicals are all labeled on the chart.
Note that the situation looks simillar on most of the "Bubble stocks". I recently posted long ideas on Amazon, 3D company and Facebook. They are all linked. If the market won't work, most probably all of them will fail. Out of these four stocks where I spotted entries, most appealing are 3D and Netflix.
We must first consider market conditions. The tech index, Nasdaq 100 recently dropped a lot, and it looks like it reversead today. Netflix has a great correlation, the only difference is that in 2013 Netflix gained 300%, while the NAS100 a bit under 50%, so Netflix is more attractive.
The main attraction is the great risk reward ratio. Entering now, and setting a stop under 350$ offers a 5% risk. Only 5% , when the previous high is 25% away. That's a great risk reward ratio. No matter what is going to happen, this is a trade I want to be in, the risk/reward ratio is just too attractive. As I said in the chart, I won't be setting any target like I usually do, I will move my stop loss to breakeven if it moves up and leave it there. If I'm right and it will rally, I will look to add.
All the technicals are all labeled on the chart.
Note that the situation looks simillar on most of the "Bubble stocks". I recently posted long ideas on Amazon, 3D company and Facebook. They are all linked. If the market won't work, most probably all of them will fail. Out of these four stocks where I spotted entries, most appealing are 3D and Netflix.