I'm starting to really like NAKD for a revival play after a significant double bottom off the 200-day moving average around $0.48. There is now a clear defined risk-reward with a stop below the double bottom low.
Technically price is showing signs of recovery with the 200-day moving average holding nicely resulting in a strong double bottom and higher lows since then. Additionally, the 20-day moving average has recently crossed over the 50-day.
Fundamentally this company recently received shareholder approval to fully divest from its brick-and-mortar interests and pivot to pure e-commerce. They are also sitting on 270m of cash and no debt which means they are well-positioned to make strategic investments and acquisitions.
On a news catalyst this can easily run to $3+, but of course trade your plan and take profits when it makes sense for you.
Yorum
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Full disclosure, I'm still holding. In fact, my entry is even worse than this trade setup. My cost average is $1.15 and I'm holding for a second run.
Thank you for explanation. Any proximate date for +3?
UnknownUnicorn20061862
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@Othman07 no, but I would like to see it within 2-3 months
Othman07
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@BrodieAxelrod thank you for answering. Sorry for asking a lot but last question what do you think what’s the lowest numbers it will go before peaking?
UnknownUnicorn20061862
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@Othman07, I can't predict, but what I can say is that a breakdown below the most recent double bottom/200-day moving average around $0.48 would be where I cut my losses
Othman07
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Thank you 🙏 @BrodieAxelrod
Othman07
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@BrodieBuys where’re close to 0.48 what’s your move please and what do you think?