IPO
Earnings Stock of the Day: VERIVERI is reporting earnings today and was chosen to remind traders that IPOs are not usually profitable. It is very rare to have a company that IPOs with high profits and revenue. Therefore, IPOs are generally speculative as this stock was. It IPO’d around the summer of 2017 and ran up for a month to a new all-time high. Retail investors and smaller funds drove price upward due to HFT activity and the encouragement of financial advisors. AccumDist shows smaller funds buying speculatively, creating the momentum run of August into September. HFTs created the huge black engulfing candle at the peak. Smaller funds and the retail crowd “bought on the dip” and have lost a lot of money since then. Preferred Clients sold into the speculative gains.
It is now near the low that should provide stability to the downtrend and eventually commence the bottom formation. There is no bottom yet as there is no Dark Pool Buy Zone™ yet.
There are no major companies reporting today. It is all small to mid-cap companies. Earnings Season is in the final days of reporting.
Earnings Stock of the Day: ROKUI started monitoring this stock shortly after it IPO’d as it appeared frequently on the large lot pre market activity list as Dark Pools accumulated this IPO early on. Roku Inc. is in the Communications Services Sector under the Pay TV Industry. It is a new young public company challenging companies like NFLX with a new form of streaming video content for consumers. ROKU reports its earnings today after the market closes. It's stock chart shows it is now in the typical and expected IPO correction pattern. ROKU weekly chart shows it is finding support from the IPO correction that started late December of 2017.
XIAOMI IPO - oh, snap!Many people ask me about my thoughts of Xiaomi IPO and what i think is:
I personally like/love Xiaomi products. But i will skip this IPO and continue specializing on the small tech IPOs.
What i think of IPO as investment:
- Overcrowded (mostly with people who don't participate in IPOs)
- low demand (read latest news, price range reduction).
- its from China (look at falling china indexes - bad IPO timing)
- risk of future in US-market (ZTE-risk, Apple copy-cat etc.)
- no profitability NOW (but really high revenue - is key for future)
Long-term - might be very good (due to really good products), but in that case i will wait for 1 year to see how the market reacts to this stock.
AS a result, please look at Snapchat Chart. Imho it will repeat for the Xiaomi too. First day/week hype - and falling into abyss.
China Mobile: If you have to own 1 name...If you have to own one name today right now, this is IT. Boring old cash rich China Mobile has been trading in this channel since 2009 and this is the 3x time 941 is testing the lower end of the range. There is 5% to pick up before it hits the 1st resistance and potentially +35% if it tests the top of the range. To sweeten the deal, if you hang on till the end of the month, specifically the 25th, the kind folks at China Mobile will cut you a check for 2.1% yield. If you need more convincing, China Mobile owns 38% of China Tower which just filed for a $10bn IPO in HK. State-own IPOs in HK are just like butter on popcorn, nothing will taste better than China Mobile when China Tower starts popping on IPO day.
The Fundamental reason for NIO weaknessNIO's IPO was welcomed with much fan fare but has weak since close of its second day trading. I'm watching a tight 4hr pattern here, but coming across some fundamental information has me leaning bearish on this stock.
As for the fundamental news, the author of the article linked below poses the $12 billion question:
"A question. Is the untested EV startup NIO without its own plant, or manufacturing license, backed by Netease, an internet gaming company, with its $1.67 BV/Sh and $12B market cap, really worth a 60 times higher Market Cap than time tested profitable NASDAQ listed Kandi Technologies, (KNDI) with only a $200 million market cap?"
finance.yahoo.com
Eventbrite IPO ($EB)Eventbrite IPO
Ticker: EB
Starts trading this week.
------
Classic Semi-Tech IPO.
Great revenue increase YoY since 2016.
Good market cap.
Expecting IPO at $24 and $30+ at first day of trading.
We are in the Bull market, so buy it if you can.
LET INSPIRE FROM SPECULATIVE MOUVEMENTJust looked at IPO in switzerland this year. After a speedy scroll I was captured by two projects. Medartis and Sensirion.
Sensirion just mooned and if I had a little more time for stock market it was a clear buy for me.
Now let analyse Medartis.
IPO are tricky. There are differents movement after an IPO and you can enter in a golden egg goose but you can easily be trapped in a bad affair.
Now we can identify some important similarities.
let look at sensirion right.
1) post IPO speculative push
2) overbought corrective sell off
3) shy afflux of investor with a growth within the channel
4) break out of the top.
5) consolidation on the old top
6) explosion $$$$
left Medartis
1-4 are done.
felt 5) consoldation and 6) explosion
Now. I noticed it yesterday and I was concerned to buy or not.
Now is approaching the superior resistance of the channel and is inside a small rising wedge with some bearish divergence on indicators on higher timeframe.
So I decided to stay out and buy a pull back, and I will protect me inbetween with a stop above the channel.
Will it work what I'm telling you?
Maybe. There is a clear difference between this two ideas
Sensirion growth so fast in less time, as sign of strong interest. Medartis is growing but more slowly.
Even if this two movement are similar you can see that in august there were 3 big spike (first before the break out), signaling that someone passed big buy orders.
Medartis is more shy but the break out put him in an interesting situation and the pullback would be for me a clear buy opportunity that I won't miss. From there reevaluation of what happens with easy to place stop loss.
High Reward/Risk ratio
BIO
NIO, IPO, Tesla Competitor? Huge Potential Gains!This was released under IPO price. Im long @ 5.99.
Tesla competitor and much more involved with this company, just no need to go into much detail.
Cant beat under IPO price, and huge long term possibilities with this company.
They may be the first producers of an affordable electric car to start.
This is high risk, as noone knows what could happen.
I have a 100% success rate with IPOs this year so far, just mentioning.
Happy trading , debating, and speculating!
$DOCU IPO Wedge BreakoutGood looking chart for $DOCU. The previous strong resistance needs to break to continue this powerful breakout.
Has a volatile profile since it's an IPO but fundamentals are strong, chart is strong, looks good to me.
TENB runner? Security is huge right now in the tech field and I really like what this company does. It looks like it might start running after today's close. I don't like the low volume, but maybe that will change with a close above all time highs.
PDD 1st inside day after IPO,let's see how momentum worksThere are plenty of bear news after this IPO to break its initial price 19.00 yesterday.
People in China keep on making fun of the quality on this platform recently, many of which are genius lol.
Still, to short an IPO is not that easy so that we can take the recent slump as profit taking and stop loss selling cycle,
when it's already in 19.00 and form an inside day, to long the breakout is still a trade that worth the risk (only if having gigantic risk appetite) .
On the other hand, if it breaks to the downside, the panic momentum would probably make new lower low than the mother bar.
So it'll be interesting to watch how the market deals with this inside day, and maybe use some tiny risk to take part in the party for me.
Let's see how it goes!
Tilray INC, TLRY. IPO release, high risk trading!lets keep it simple.
if you havnt check out my other crazy accurate charts, then go ahead!
I dont like charts without data, but this recent IPO release should be positive for the chart.
We can only really look at smaller time frames for this since its out for a few days, im playing bounce zones. No long terming here.
we have buy signals starting to stack on the 15, and reaching a level of resistance.
Lets see how it plays out. Not much else here to look at, mostly speculation.
I want everyone to win!
Happy trading, debating and speculating!
Tenable IPO - $TENB - just do it.A new IPO here.
Tenable Holdings, ticker TENB .
Starting trading 26.07.2018
Price range $20-22, should be filled for $22.
I expect it to open at $27 and then to go 40%+ ($30-31) in first day.
Here is why:
Growing revenues at 50.9% y/y, $19 or 5.7x forward sales. Competitors are trading at 11.22x
Previous Cyber security IPOs skyrocketing last half year. As do many leading cybersecurity companies, see $HACK etf's chart.
As of December 31, 2017, the company had 24,000 customers including 53% of the Fortune 500.
the firm has increased the price range from $17.00 - $19.00 to $20.00 - $22.00 and has increased the number of shares to be sold from 9.2 million to 10.9 million. (thats usually bullish!)
the company has almost no financial debt.
Research&Dev, Cost of revenue and Sales&Marketing costs are growing slower than revenue. Eventually the company will be profitable someday ;) But who needs profitable company in the market? ha-ha
p.s. Keep calm and buy Tech. We are in the bull market (everyone except the Zerohedge readers).
TGODF Green Organic Dutchman Holdings LTD, Big Bull Flag?Lets keep it simple!
I've watched TGODF since release go from 2 to 6 in one month. 300% gains that soon may require a pull back.
There is not enough data to look at the longer time frames, as the shorter ones provide more current movements.
I've drawn a nice wedge pattern from the highs, and also found a larger BULL FLAG in the making. By the end of the month we should see where this is going.
Im going to wait until a safer entry zone appears, closer to the $4.30 area at the 618, and even the 786 area could be a second buy zone at the $3.7 area labeled in green.
The Ichimoku on smaller time frames is crossed bearish, and momentum continuing sells. but we can also see a decent amount of buy signals oversold, which I wont be counting on, considering the smaller time frame. There are no buy signals on the more important 4 hr to the WEEKLY.
A breakout of the wedge seems less likely, but still possible. Im a safe pull back level buyer, and will wait until they are reached, or move on to a different trade.
Happy Trading, Debating and Speculating! FOLLOW for more updates on all my charts!
