Here’s how we are trading $HUT (October 13, 2021)
HUT
Today I want to talk about HUT ( NASDAQ: HUT ) and this is why; this is a cryptocurrency miner. They don’t get their hands dirty, they get their semiconductors hot. We put this on our Active Trade List today, it’s just below, about $.20 below, where the stock closed. You can trade along with us if you want.
What’s happened here is, this stock has had like a 7-month base, it is really about 6 here before it started this handle. I think Dave Ryan would be ticked if I described a stock that went from 10.00 down to 3.00m and then back up to 10.00, as a cup because that is a pretty deep dive here but let’s call it that.
And then finally, it has formed this little handle for another month. So this is like a 7.5 period when the stock has traded in this range. And now this tight little area here is providing a springboard for the stock to go higher. But also, keep this in mind, the big red line here is the 50-day moving average.
This kind of had this whoop-de-do here, back, and then, now it’s on the upside again. But not only that, the price action, this pullback here was close enough to where it got the stock very close to the 50-day MA. And then the subsequent rally confirmed the uptrend in this stock. Buyers were not even letting the stock get down to the 50-day moving average before they are buying again.
I opened this trade, believe it or not, it is actually the biggest trade in my account right now. I opened this trade because if this stock breaks out, if this thing runs above Wednesday’s intraday high of 11.22, it’s got a ways to go, but if it runs above that level we could see a really nice move up to $12.00 pretty quick. You might say, well, that’s not much of a move, hey, on a percentage basis, it sure is. And then if it cranks up to $12.00 or $13.00, don’t you think 15.00 is a nice round number for this thing to go to?
If we want to do a measured move we would take this from here down to here and say, wow, that’s 33 percent or $3.73. So we extrapolate up here from where it is now, go up 3.73, roughly, and where do we get? Up to 14.60, we’ll make an even figure, 15.00. That’s what I am looking for with HUT ( NASDAQ: HUT ). What we’ve got on the downside is, we’ve got our stop just a little bit below today’s intraday low.
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