Hello Everyone,
My apologies for the time off since the last newsletter update. I am now back from my vacation time in Florida. I hope to still share my research and my model trades in case it helps in your own investments.
Stocks recently sold: AEVA, AI, ALGN, AMD, ASPN, ATHA, AUDC, AVIR, BEAM, CCCC, CDLX, CDNA, ROX, DRCT, DVN, GKOS, GRPN, HYLN, IPSC, JMIA, KOD, MHK MSTR, NET, NTNX, NXT, POWL, RDWR, SPRB, SQ, TARA, TATT, UGP, VMEO, VTEX, WIRE, XOS
Most of these should be no surprise from the stop sell prices set. However, I’d like to point out a few less obvious sells. I sold ASPN since it is showing greater than 10% vertical line declines, more than two over a 3 month period. I figured it’s better to take chips off the table then get stock losing a portion of the stock value.
On 3/22, JMIA 10D average line (10-day simple moving closing average and plotted on a one-year time span) formed a decline that is less than 25% from a vertical axis line. This is a signal to put in a market sell and is an indicator of poor performance ahead. My apologies my vacation caused a delay in sharing this message.
On 3/19, KOD 200D average line (200D simple moving closing average) formed a first decline from former closing day 200D average. This is a signal to sell at next market day open. I expect further deterioration of the stock pattern ahead.
SPRB: My deep apologies. That straight down correction of 80% on 3/14 I did not see coming. This is a case example that shows while there is a lot of upside potential in new biotechnology microcap stocks, there is a lot of downside risk.
XOS: Since this one has fallen into a 6-month to one-year horizontal pattern of the stock price, this is a good time to sell this stock.
MSTR: This has now hit a sell trigger. I am going to sell and keep the astronomical profit since the buy back on 11/7, I purchased the stock at 469.08 on 11/8 market open. If the open is close to the last price of 1699.99, that will be a 262% gain over the purchase price.
Sell Now Triggers: ADTH
Stock Model Recent Buy Triggers:
UEIC, STRC, PYPL, SMG, NTGR, DVN, SCCO, NX, AHCO, AAP, CENX, RZLT, STOK, DOV
UEIC develops and manufactures sensor and control technology used in a variety of industries, including RF sensors, automation, and remote control systems. The company recently formed a new long-term buy technical signal on 3/20 as the 10D inclined and crossed an inclining 200D. The fact that the 200D is inclining is HUGE! If you look at the long-term chart, the 200D has not inclined since 2021 when the stock hovered around $ 45 / share, about 4.5x the $ 10 value today. In my opinion, this is a great buy opportunity.
While STRC is a risky microcap stock, it does provide a service in the perfect “next big thing” industry, artificial intelligence and machine learning to enable robots to observe, learn, reason, and act, according to the profile on YahooFInance.
NTGR is a great company making communication equipment, which will be needed to power huge amounts of data that will need to be transferred to enable the AI evolution.
Even though inflation has stabilized a little, new car prices since 2019 have risen to unsustainable levels. Coupled with the high cost of EVs and hybrids being well out of reach for most middle income households, I look to auto parts as an industry with high organic growth. On 3/18, AAP 200D moving average started to incline for the first time since January 2022, marking a buy on the Ludicrous Stock Model. This is a great technical analysis buy opportunity.
New Buy Now Triggers (3/29): IRTC, RH, ZWS, TPH, MG, MU
If you look at the revenues of medical device maker iRhythm Technologies (IRTC), you will see there is plenty of year over year growth. It’s no surprise. The company develops continuous and mobile cardiac monitoring devices and services, a space with plenty of organic growth in the years ahead. When the technical analysis lines up with the fundamentals as it did on Friday, it presents a great buying opportunity.
RH is a great stock, selling luxury furniture. After huge growth in the covid years, this stock laid low. However, on Friday 3/29, a new life cycle buy opportunity has occurred as the 10D inclined and crossed above the 200D.
ZWS specializes in quality water testing, which is definitely another industry with organic growth.
Home builder TPH appears to have broken out of a horizontal pattern, triggering a buy on my Ludicrous Returns stock model.
MG is a micro-cap stock, with a market cap at $ 292 million. The stock currently is not making earnings yet, however, you can observe revenue growth in the financials. This company specializes in pipe line inspection and maintenance services. There are plenty of older pipelines in the US that present long-term organic growth.
As reported in both WSJ and IBD this past week, MU is really enjoying revenue growth from the AI revolution. I expect growth ahead, my model has detected a buy.
Stocks close to a buy trigger (3/29)
AA, ADCT, AENT, AEVA, AIRG, BALY, BAX, BEEM, BGS, BYND, CBAT, CLFD, DQ, ENPH, FLO, GCO, GNRC, GOSS, HRL, HTOO, HYFM, INGN, ILMN, IAC, HYLN, ITOS, LUMN, MASI, MRKR, KNLA, NEE, NKLA, NWL, OTTR, OUST, PRPL, RMD, SEE, SLDP, SRTS, SSTK, TARA, THRM, TTGT, TUP, UIS, UPST, UTZ, VAC, WFC, WATT, ZI
Lidar sensor maker OUST recently experienced some high volume in conjunction with a sharp stock price incline. It appears the buy trigger is almost set, as the 200D showed an incline on 3/28. Look for the 10D to incline and cross above the 200D to complete the buy, which appears likely to happen in the next day or two.
DQ AND ENPH are superstars in the solar industry. These stocks appear to be forming a soon to buy signal that coincides with long-term growth expected in the solar industry.
SEE is a sealed air and container company is very close to forming a long-term buy opportunity. Look for the 200D average to show it’s first incline over the former closing day 200D average.
My Current Holdings (3/29)
Updated stop sell orders calculated from technical analysis model output.(Stop sell price)
AAP (67.22), AHCO (9.53), APP (61.86), AZZ (60.69), BLCN (24.62), BSX (56.43), CAT (297.31), CDRE (33.27), CENX (13.55), CGNT (6.87), CHKP (151.89), CLS (41), COIN (204.81), DASH (114.29), DIS (106.06), DKS (173.07), DOV (148.13), DVN (46.97), ELF (162.80), EME (270.35), ENSG (113.76), ETN (245.18), FATE (6.36), GWRE (108.70), HBI (4.57), HPK (14.93), HRTX (2.46), HUBB (347.94). IBM (163.81), INFA (30.34), INO (10.13), IR (73.94), ISRG (65.58), META (394.23), MOD (81.41), MSFT (388.44), NEU (544.41), NKTR (0.70), NMR (5.06), NTGR (14.24), NVDA (803.37), NX (32.65), OSG (5.34), PRAX (45.39), PWR (218.73), PYPL (61.59), QTWO (43.21), RELX (39.30), RZLT (2.06), SCCO (90.06), SMG (58.15), SPXC (94.33), STOK (12.35), STRC (1.63), SWIM (3.01), TDG (965.37), TGT (134.81), TNDM (25.85), TOST (19.77), TT (235.40), UBER (69.78), UEIC (9.00), V (255.55), VMC (235.58), VRNS (45.34), VRT (66.72), VST (55.73)
Quantity of current Holdings: 71
New Stock Buys 6
New Stock Quantity 77
Ludicrous Stock Model Portfolio: 79.2% invested in stocks, and 20.8% in cash (prior to the 6 new buys)
Market Status Update Ludicrous Market timing model status is green. For portfolios restricted to equity index ETFs, I recommend to be fully invested in equity at present time.
Happy Investing,
Ludicrous Returns