Here’s the info on ZoomInfo ($ZI). Great entry, excellent stop placement…and great potential. (February 03, 2021)
ZI
ZoomInfo ( NASDAQ: ZI ); back a couple of days ago, on February 1st, we looked at this stock and it’s starting to break out. So we got in, 49.80, just before it pushed through $50.00 and set a stop below the 50-day moving average. You have got to give the stock some room because it’s been so choppy. And so sure enough, the next day it runs higher.
However, if I had been more rigid, more stringent, tighter in my stops, I would have been stopped out of this stock intraday and missed the nice move higher, to where this thing printed a higher high, intraday high, and it also closed higher than the prior day’s close. This was actually a really bullish thing, it was a washout. There is a reason why the stock washed out, I won’t get into it, they had a bond offering, but it’s all good for the company. And then, boom, today this thing really ran.
The point that I want to make here is when you see a stock do this kind of big wild move but it has a high close; a high close, not a low close, when you see the stock has a big wild move like that, that’s kind of like clearing out the underbrush. When you see this it’s like a washout, it’s like you scrubbed everybody out who was wishy-washy on the stock and you put in stronger hands.
That is really what we saw here on Tuesday. And so you are in this stock and now that the stock is up here, remember, we had like a 49.80 entry, something like that. Now we are up 10 percent on the stock in just a couple of days. And so what I did was, I raised the stop to put it just below today’s intraday low, 51.50, I think I have it at 51.40. So the only way we are out of this stock is if it completely reverses today’s move, and even then we have a profit. So we have locked in a gain on this stock, the only question is, how much?
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