Thursday, December 5, 2024

Grow Your Business and Join MarketWorld Marketplace and Create Your Own Store front

HomeStock MarketJason Bond’s Favorite Penny Stock Pattern Strikes Again!

Jason Bond’s Favorite Penny Stock Pattern Strikes Again!

Weird times we’re living through at the moment…

You see, strong small-cap action is usually a by-product of strong markets – it is only when people are comfortable with their finances and portfolios, that they’d gamble money on high-risk/high-reward small-cap trades.

And needless to say, when the market is as choppy as it has been, the general populace is anything BUT comfortable. 

Yet, small-cap names are seeing as good an action as ever!

Counterintuitive as it may be, for us, professional short-term traders, this is great news – such volatility is exactly the environment we thrive in. 

Seeing small-cap momentum pick up only meant one thing to Jason Bond – it was time to dust off his small-cap playbooks. 

And boy did his favorite setup deliver again!

Fish Hook Basics

A fish hook is one of Jason Bond’s favorite and even “classic” patterns. 

It occurs when a large wave of emotional panic selling drives the stock very far into the oversold territory. 

Eventually, sellers dry up, and buyers and short covers get to work, allowing for a quick upside. 

The up move may only be a fraction of the preceding down move, yet it still allows for a sizable gain if entered correctly. 

As you figured, the name comes from the physical shape – the anticipated move looks quite literally like a Fish Hook:

Hence, you can imagine Jason’s excitement when we saw a great fisk-hook candidate pop up on his scanner this morning.

 

VEON Trade

VEON is the owner of one of Russia’s largest mobile networks – consider it the Verizon of Russia. 

And, as with everything Russia these days, you can imagine it got hit quite hard… The stock lost over 80% of its value in the past few weeks.

Despite that, VEON managed to get on Jason Bond’s early movers scanner this morning, as there were signs of progress in Ukraine-Russia talks:

The fact that VEON’s CEO published a letter highlighting the company’s strong liquidity position didn’t hurt investors’ sentiment either!

So, all in all, this early morning you were getting a damaged-yet-strong company with progress on the political overhang, trading for a fraction of its value from just a few weeks ago. 

This was enough to get Jason excited, but wait till you see the longer-term chart:

Does that look like a fish hook?

So, he got in slightly above the $0.40:

His plan is to let the winner ride and hold the stock until at least $0.50+. 

Let’s see how it plays out for him!

 




Source link

Bookmark (0)
Please login to bookmarkClose
RELATED ARTICLES
- Advertisment -spot_img

Most Popular

Sponsored Business

- Advertisment -spot_img