I am revisiting SDC since going long and stopping out on 1/21/2020. Since then, SDC has been consolidating nicely with a tight pennant pattern on the daily chart. SDC is a speculative name with a huge short interest at 30%. This stock has the potential to short squeeze. Furthermore, as TSLA continues it's rampage, there has been a heightened sense of delusion and greed in this recent market. Speculative names have been very spicy lately and SDC is one of them. I went long within the pennant pattern as this is looking like a coiled spring and getting ready to explode.
Entry - 13.75
Stop Loss - 13.32
Target 1 - 15.00
Target 2 - 17.50
Entry - 13.75
Stop Loss - 13.32
Target 1 - 15.00
Target 2 - 17.50
Comment:
SDC is still working it's way near highs. Still working. Moved stop loss to 13.80.
Trade closed: stop reached:
Closed this trade at 14.52. SDC had a mean reversal at highs just when it looked like it was about to break out. Still profited a little less than 1R.