NYSE:SPCE   Virgin Galactic Holdings, Inc
Hello fellow traders and investors, here's a trade idea on SPCE .
SPCE has recently pulled back to the common support area . If SPCE makes a recovery to the 1st TP it offers a 50% ROI and if it makes a recovery to the 2nd TP it offers a 150% ROI .

Technicals:
The Macd indicates that SPCE is oversold and now in a downtrend
The RSI is oversold
The volume looks like the selling pressure is getting exhausted and we might see an ascending buying pressure.
It could also be an H&S but with the tight entry, the downside potential is relatively small.

When To Buy:
When the Macd is in an uptrend and when the volume gets some ascending buying pressure

When To Sell:
I recommend selling at the first take profit if it's having trouble breaking out. For example, if it tests the first TP and heads any lower than 28$ then close your position however if it stays above and breaks the first TP hold till the second one and immediately close your position since we usually see low volume when it's about to reverse to the downside.

Fundamentals: They aren't an established company yet and have less than a million dollars in sales so if you have no problem with companies like so then feel free to add it to your watchlist.

Rating (On technicals): 80/100 the technicals look pretty good and the ROI potential is definitely there however make sure to buy when you see an indication of a reversal since it could easily break below the support area because of the H&S pattern. Make sure to use risk management since this is a relatively volatile stock.

I hope you enjoyed this quick analysis and many more to come.
If you enjoyed leave a like, follow and comment your thoughts.
Thanks

Comments

Would you like me to explain how to use Volume, RSI, Macd, or any other indicator? And which one?
+1 Reply
Do you think SPCE is a good buy?
Reply
M_Asim_Qamar TradeTheTrends
@TradeTheTrends, holding old bags, will keep it - till T2 met
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@M_Asim_Qamar What was your entry?
Reply
M_Asim_Qamar TradeTheTrends
@TradeTheTrends, I will be break even after 1st TP
Reply
@M_Asim_Qamar Oh ok that’s not a bad entry plus there’s a positive catalyst that will drive price to at least 1st TP which is their test flight which is happening very soon.
Reply
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