Looking for a trade idea? Try this one on Infusystems ($INFU) (January 19, 2021)

by DAN INFU 
InfuSystems ( NYSEAMERICAN: INFU ); healthcare sector, we like this. It is close to the 50-day moving average. It has formed kind of the left side of the base, now we want to see it forming the bottom, which is what it is starting to do here. And then you could very well see it start to climb up here and form the right side of a base, and then ultimately challenge 20.00 again.

Frankly, this is your trade right now, it’s pretty cut and dried. You would keep a stop just a little bit below the 50-day moving average, that way the only time you would get stopped out is if the stock falls below last week’s intra-week low, below the 50-day moving average down to here, which negates the idea that this is forming a base at the 50 and it’s going to spring higher.

So this is your exit right here, which gives you a very small amount of risk, this is your risk, in the box here. What you are looking for is this kind of move to the upside. This is not the perfect entry here because this is kind of steep, but I think it is definitely worth tracking. If this can hold a few more days here, maybe a week right where it is, this could give you a real nice opportunity to go long.

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