06/15/2022
What industries are set to break out?
That’s the million dollar question.
If this week has shown us anything, we know that no industries are safe when the market gaps down…
(Source: tenor.com)
With the algos running the show alongside the broader market, I’ve been keeping trading to a minimum and staying heavy in cash while I look for signals in various sectors.
For both technical and fundamental reasons, nuclear power is an industry that deserves some attention and today’s company is one of the recent SPACs that has some promise…
It’s early… but worth a look.
Check out NuScale Power Corporation (SMR):
The chart above is busy, but don’t let that overwhelm you…
With all things in the market, it’s best to stick to the basics and then lean on indicators for confirmation.
Let’s start with daily and zoom in.
There’s little to pay attention to here in terms of Support and Resistance.
What I am noticing is the long wicks in the low to mid $9.00’s with the resistance close to $10.00… It’s swingable for now as it marks higher lows.
That’s where the 65-Minute comes in.
Notice the pattern through the Pivot Points… We’ve got a thin Support channel at $9.25 with Resistance closer to ~$10.30.
Pivot low, double bottom, pivot high.
Chris Hood’s Squeeze Trading Tool 1.0 shows a squeeze high setup with the RSI and MACD trending upwards as well… What SMR needs is volume.
Getting in closer, the 15-minute shows a buy signal and is squeezing tight under local resistance below $10.00.
If looking to get long, I’d watch for a move towards the buy zone again with a set of swing shares to take advantage of lowering cost basis…
Once nuclear energy picks up, this could be a contender for high profits.
At least, that’s what my analyst buddies tell me…
(Disclosure: I hold no position in SMR.)
This material is not an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Any performance results discussed herein represent past performance, not a guarantee of future performance, and are not indicative of any specific investment. Due to the timing of information presented, investment performance may be adjusted after the publication of this report. There can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this communication will be profitable, equal any corresponding indicated historical performance levels or be suitable for your portfolio.
