Bullish WKHS theory
Обновлено
Today is my first day analyzing charts. I was looking through my watchlist and saw that WORKHORSE climbed significantly in after hours trading.
Upon further examination I saw, what appears to be, a consistent uptrend in the charts which began post earnings in 2020.
I was still curious as to why the sudden interest after hours. I observed that there is an earnings coming out at the end of the month, or there about. I observed the life span of the stock and noted that the RSI consistently climbed to above fair value post earnings. This tells me that, more often than not, the earnings have been strong. I also located an article stating that there is a significant possibility that WKHS will be given a contract to replace the USPS fleet. Although this contract is not solidified it does offer a short term “hype” value to the stock.
DAY TRADING VALUE:
I would label this stock as a “Come back King” as it has multiple points breaching the top RSI FV line and not falling below the lower RSI line. PLEASE NOTE THIS IS BASED ON THE LIFETIME CHART NOT THE DAILY DATA.
It is currently at the lower end indicating a possible oversold status on the daily chart (RSI 38.38 as of 20:00 hours on 2/19/2021) which could indicate a good buy in point.
5 day chart shows a solid down trend with value falling from 37.77 high on 2/12 to a current value of 33.05 as of today’s date (2/21/2021).
With earnings coming 3/1/2021, this stock may yield some good volatility for day trading.
LONG PLAY VALUE:
Given all of the evidence, I would conclude that this is a long term play. The value of this long term will definitely be based on the information presented in earnings AND the companies ability to win the contract with USPS.
(please let me know how I did with my first chart analysis!)
Thank you
Daniel
Upon further examination I saw, what appears to be, a consistent uptrend in the charts which began post earnings in 2020.
I was still curious as to why the sudden interest after hours. I observed that there is an earnings coming out at the end of the month, or there about. I observed the life span of the stock and noted that the RSI consistently climbed to above fair value post earnings. This tells me that, more often than not, the earnings have been strong. I also located an article stating that there is a significant possibility that WKHS will be given a contract to replace the USPS fleet. Although this contract is not solidified it does offer a short term “hype” value to the stock.
DAY TRADING VALUE:
I would label this stock as a “Come back King” as it has multiple points breaching the top RSI FV line and not falling below the lower RSI line. PLEASE NOTE THIS IS BASED ON THE LIFETIME CHART NOT THE DAILY DATA.
It is currently at the lower end indicating a possible oversold status on the daily chart (RSI 38.38 as of 20:00 hours on 2/19/2021) which could indicate a good buy in point.
5 day chart shows a solid down trend with value falling from 37.77 high on 2/12 to a current value of 33.05 as of today’s date (2/21/2021).
With earnings coming 3/1/2021, this stock may yield some good volatility for day trading.
LONG PLAY VALUE:
Given all of the evidence, I would conclude that this is a long term play. The value of this long term will definitely be based on the information presented in earnings AND the companies ability to win the contract with USPS.
(please let me know how I did with my first chart analysis!)
Thank you
Daniel
Комментарий
As we all observed, this stock did not fair well when USPS awarded the contract to another company. However it may still yield good volatility for day trading in the short term. Keep in mind that earnings are coming and, as always, the future is never written in stone!Отказ от ответственности
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