A look at Enphase ($ENPH), Maxeon ($MAXN) and Sunrun ($RUN) – September 12, 2022
ENPH MAXN RUN
I want to talk about the open trades that we have, they are all working pretty well we just have to 3 up at one time right now. There’s not a whole lot more that we are able to get good entries on. But the one that I want to talk about here is Enphase ( NASDAQ: ENPH ).
The reason is, that as you probably know, hopefully, last week this thing broke out above 300.00, this is what we were waiting for. The entry here was at 300.00, I had set my alert and we got on that right away. Now, an earlier entry was down here. To be perfectly honest with you, I saw this move after it happened and I just couldn’t buy it. It had gone up too far. It’s a weird thing about trading, if you are trading with any kind of discipline sometimes the market just makes you feel stupid and this is one of those times.
Even if I had looked at this after the first day and went, shoot man, this thing is going to the moon, bought it at $260.00 I would be looking like a real champ right now, But I didn’t do that, I just couldn’t chase it. I have chased stocks like this before and sometimes I have made really good money but most of the time I have lost, so that is why I don’t do it anymore.
One of the things that you want to be mindful of is, as much as you can, learn from the mistakes of other people because you don’t have to make them yourself. It doesn’t cost you money when other people make mistakes like it does if you make the mistake. This is why I will talk a lot about mistakes that I have made so that you don’t have to make them.
Trust me, it is kind of ego-crushing to talk about all the dumb stuff you have done throughout your trading career. But frankly, it is important for me to let you know that if you are making the mistakes that I am talking about, we’ve all been there, they are common mistakes. The only question is, how much in tuition will you pay before you learn the lesson?
You don’t get any degrees, there is no such thing as higher education in trading, there is just essential education. So I want you to be mindful of that. Learn from your mistakes, but also learn from the mistakes of others. So here, did I make a mistake in not buying this here? No, I missed out on profits but I just couldn’t justify buying it. But then as it kind of consolidated here and started trading between 280.00 and about 300.00 or so, a little bit over 310.00 maybe, but it started tightening up.
You would think after this kind of move the stock would fall. You would think it would come back down, right? Well, it never did and so this tells you that there are buyers still for this stock at $280.00, 290.00, $300.00, they are still buying the stock even after this run. So you say, alright, I didn’t get the first move but I’m darn sure going to get the second one. So, boom, there it is. Wait, bam, there’s your 300.00 and now we are kind of off to the races a little bit, right? Well no, we are still at a good entry point.
So we look at the weekly chart, we are already in at 380.00 our stop is at 285.00. And I am almost tempted to kind of move it lower but I am not going to do that. You never want to move your stop lower on a trade that you are losing money on because you are doing that for a particular reason. If you are making money on the trade as we are on here, not a lot but a little bit. As we are making money on the trade then you should really feel free to adjust the stop however you want because you are just trying to maximize the potential in the trade as opposed to avoiding being wrong.
And so here, I really feel like we are right on the trade. This is consolidating a bit but check out the weekly chart, this looks really good. After this big move, from 220.00 up at one point, to 325.00ish, that is almost a 50 percent move in not too long of a time period. And now the stock is back up here. And so I am looking at this current trading range right here, and it looks, to me, like the stock is ready to make the next leg higher. That’s why I am in this stock. That’s why our members should be in this stock.
Maxeon ( NASDAQ: MAXN ) is doing okay. It’s not really knocking the cover off the ball but it is working. Solar stocks are really one of the key sectors that you want to be in. Biotech, actually, is working as well. But for right now I am just looking at this solar stuff. And then the other one is Sunrun ( NASDAQ: RUN ). We are up just a little bit on that, we are up at 38.40. And this one also looks like it is ready to keep moving here on this nice turn.
So that is our Active Trade List right now. I am looking to add more names but what you will find is, on the energy names that I am mentioning, so many of them, I believe, are going higher but you can’t buy them right now because they are just not at good entry points.
Free Chart