The market is jerking us around today, although the bears certainly missed an opportunity early this afternoon to break us down. Given the sharp advance we have seen this week, this type of action is largely what the bulls were looking for. However, I do not want to jump to conclusions just yet. There is plenty of work to be done to tighten up chart patterns and set the stage for a sustained move higher.
One of my longs inside 12631 has been FIRE. I sold out of it a few weeks back for a win, and recently added it back. The reason why I remain so enthralled with the stock is because of the long-term viability of the chart. In addition to being a low float/short squeeze play in a hot sector, not the breakout from long-term resistance. Even as the market broke down last week, FIRE never really gave up the goose. That nasty shooting star candle two weeks ago seems to have been stopped in its tracks, and the stock looks to be on its way back higher.
If the market continues to improve, cybersecurity and FIRE are where I want to be on the long side.
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Not “largely” what bulls are looking for, but rather “exactly” what bulls were looking for.
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Exactly…would be tighter charts, in my view.
Agreed.