Here’s why Make My Trip ($MMYT) Makes My Day – December 30, 2024
Dan here at StockMarketMentor.com. I’m looking at MakeMyTrip ( NASDAQ: MMYT ) here.
I just finished a very, very long Strategy Session of our premium members and this was one of the stocks that I was analyzing with them. It goes with the theme of hopefully 2025 will not be, shall we say, as interesting as 2024 was. Everything is chaotic up and down and all around and all that jazz.
When I look at MakeMyTrip ( NASDAQ: MMYT ), this is a money maker, there’s no question about it. Back in August, it was at 90.00-91.00, now it’s at 113.00. It’s not any parabolic move that’s going from 70.00 to 115.00 in 5 days. If you just look at the key moving averages here, the 50-day is up nicely. The 200-day is up nicely.
Just look at the way these things are moving. But wait, there’s more. I can even do this, up bars, white, down bars, white. So we have no prices now, all we have are Bollinger Bands and moving averages. The 8-day moving average here, the 50-day and 20-day.
Think about this for a minute. Couldn’t you trade this stock without the bars? Couldn’t you trade this stock just by looking at these moving averages? Especially, just the 50 and the 200, but even with the 8s as far as finding your entries and exits. Forget about the price, this is what I would do. It looks like we’re coming into a little squeeze here with the 8-day moving average coming pretty darn close to the 50-day moving average.
So if this 8-day EMA comes down a little bit closer here to the 50. If this thing just comes down a little bit more, that’s when I’m going to buy it. It’s not going to be exact, maybe it’ll come down here, or maybe it won’t at all. I’m looking for a little bit more of a squeeze here, come down a little bit closer.
Why? Because back here, that turned out to be a good thing. Why? Well, I don’t know what the price did, but I know what the moving average did, and that means the price went up. When it came down here to come close to the 50, it would have been great to buy it. Anytime back here when it was close to the 50, it would have been great to buy it too.
Why? Because the stock didn’t go down very much before ultimately it went up. In other words, this was a flat time to be buying the stock. Every time the 8-day has come down to the 50, it’s ultimately turned out to be a good time to be buying the stock.
So now, on MakeMyTrip ( NASDAQ: MMYT ), if this thing comes down to 112.00, something like that, 111.00, maybe I’ll buy the stock there. It doesn’t mean that you’re going to get a big move up right away. Just like buying here didn’t mean that you’re going to get a big move up right away. But ultimately, if this pattern holds true, when the 8-day comes close to or hits the 50-day moving average, that turns out to be a pretty good time to be buying.
Let’s say we’re looking for that same thing again right here, got it? So what am I saying? Keep an eye on this puppy. The next time you see this 8-day moving average come, hopefully, a little bit closer to here. That’s when you buy this big dog and you keep a stop right around there.
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