Hey, Ross here:
Let’s kick off the middle of the trading week with yet another actionable trading idea.
Chart of the Day
This is Cardlytics (CDLX) carving out a bottom over a period of 6-12 months, breaking through resistance (white horizontal line on chart) on high volume, and then doubling in short order.
CDLX is now trending nicely.
Dips to the lower side of the channel or pullback near the 21-day moving average (yellow line on the chart) are all buyable as long as momentum continues.
I would use a stop loss to risk no more than 10-15%.
Insight of the Day
The market may be falling, the news may be pessimistic, but there are ALWAYS stocks that are delivering superperformance.
Look at CDLX above.
The ideal buy point was August 21 – right in the middle of the current pullback. It then blasted upward by almost 40% in a few weeks.
You won’t hear about it in the mainstream financial news, which largely only reflects the broader market narrative.
Don’t get me wrong, understanding the broader market narrative is important.
But if that’s the only thing you’re paying attention to – you’re missing out on a lot of fast-moving opportunities.
So, if you want to equip yourself with a proven strategy to start going after such contrarian gains…
Embrace the surge,
Editor, Stock Surge Daily