Looking for a potential trade? Consider Perficient ($PRFT) (September 27, 2019)

by DAN PRFT 
The market is really, really crappy, a lot of stuff going on, frankly, none of it good. I am looking at Perficient ( NASDAQ: PRFT ) here. I had about 12 of stocks or so that we are looking at in the Market Recap, the Strategy Session for Monday; I am looking at them as potentially actionable; this is one of them.

What I am seeing here is, the last time this tagged the 50, you could see what happened, it didn’t even hit the 50 here, back here, all along the 50. Each time the stock rebounded, so this is a really good pattern. Now it’s back here again. There is a possibility that this is the low and that by buying the stock, if you bought it today, great. If you are buying it on Monday and you can get it around here you are taking about a 4 percent risk. You are keeping your stop just a little bit below the 50-day moving average. There is no reason to look at yesterday’s low, 36.88, and keep it a little bit below there because it is above the 50-day moving average, which is the bounce point, so don’t do that.

Personally, because the market is really penalizing the bulls these days I would prefer to see this stock grind around a little bit more. I just feel like the market is so stinking heavy that there is just selling and there is supply everywhere. It’s like Whac-A-Mole, anytime the mole pokes it’s head out, boom you just keep getting hammered. So be careful about buying stocks, but this is one of them that could work if you keep a tight stop.

As I said I would prefer that this kind of grind around a little bit more. Give me a little more action kind of like I got here; let these Bollinger Bands tighten up a bit more. And then, how about the middle of next month, how about then you pop? That could be a better trade; there’s your potential trade on this.

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