Nice move in Huya ($HUYA) today. Think you are too late? Well, I’ve got your trade! (September 19, 2019)
HUYA
I want to look at HUYA ( NYSE: HUYA ). Yesterday I featured this in our premium section, noting that the stock was kind of in a squeeze here, just kind of popping out looking at a high of 26.00. We set a price alert at 26.00, which was admittedly was very close to where the stock closed. The reason was because when one of my price alerts gets hit what our members get is a snapshot of the Strategy Session video that I produce.
In other words, if I talked about HUYA ( NYSE: HUYA ), which I did, for anything from 50-seconds to 2-minutes you don’t get a video of the entire Strategy Session that I do, which can sometimes be 30-minutes long. You only get that portion of that video where HUYA ( NYSE: HUYA ) was on the screen, so it might be a 15-second video, it might be a 45-second video telling you exactly what you need to do, exactly what you need to look at.
We had that alert fire off this morning on this breakout and sure enough, boom, the stock is up nicely, up over 7 percent in one day. So that was totally an actionable alert and I know some of our members, including this member, have done real well on this so far.
So I would just tell you this if you are not in this trade you are a little late in getting in. But the way I see it is, you’ve got 2 more points before you should expect another bout of selling. And so for a stock that is $28.00, 2 more points is another 7.5 percent. So if, and this is if, if the market is up tomorrow, if the market is strong tomorrow, this was a high volume move, over twice average volume. If the market is strong tomorrow I think you can take this stock, you have got to be an active trader so you can watch this stock. But I think you can take it as a momentum trade. It has to continue to move.
If it reverses and you bought it don’t just sit there and hold it because the stock could easily fall 10 percent and there would actually be nothing wrong with the trading action. It just pulled back, probably finding some support here at around 25.00 and then ultimately move up again. So again, if you are buying this tomorrow you’re late. You may not be too late, just make sure that it continues to go up after you have bought it. Do not sit here and ride this thing down, it can happen.
On the other hand, if it does not move up tomorrow don’t take this off of your screen. Watch it, set an alert at like 25.30, something like that, and then if the stock falls back to that level your attention will be brought back to it and then you are looking for the next setup kind of like you had here, and here, and so you look for a little pullback there, a little rounded off and then boom, you are buying it there. So anyway, that’s how you trade HUYA ( NYSE: HUYA ).
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