by Shane Ormond
On Jan 21, 2020
Now that the Chinese factory is complete (and just in time for a deadly virus outbreak), self-proclaimed “Buff Mage” Elon Musk is turning his attention to Germany, where colonies of bats and unexploded World War II bombs threaten to undermine investor confidence. (Those are not metaphors.)
Yesterday, we looked at a Daily Price Chart of Direxion Daily Semiconductor Bull 3x Shares and noted that the stock had been making a series of 52-Week Highs.
Today’s Chart is for Humana, Inc. (NYSE: HUM).
HUM operates as a health and well-being insurance company in the United States. The company offers medical and supplemental benefit plans to individuals. It also has contracts with various states to provide Medicaid, dual eligible, and long-term support services benefits.
The Daily Price Chart below shows that HUM has traded in a clear bullish pattern of higher highs and higher lows since early October.
Track the Price Chart from lower left to the upper right…
Typically, stocks that make a series of two or more higher highs and higher lows reliably continue on in an upward trend. So we can look forward to a continued advance in HUM’s stock price.
But it’s important to note that strong stock rallies have pullbacks along the way — or buying opportunities for us.
Purchasing HUM after a 3 to 5% price pullback has provided a good entry point for the stock this year, and has produced a healthy return.
We’ll keep watching HUM as it tops its previous highs and waiting for price pullbacks.
Additionally, we’d like to talk about how a previous Chart of the Day stock has done…
Maximizing Our Profit Potential
On November 27th, we highlighted ProShares UltraPro QQQ Nasdaq (NYSE: TQQQ), noting that TQQQ was in a bullish trend and had been making a series of 52-Week Highs.
If you happened to have purchased TQQQ shares on that day? You’d already be up 5.47%.
But if you had purchased the right option contract…
You would be up 21.02% in just three week’s time!
That’s the power of options, and the purpose of my elite trading service, PowerTrend Options. My goal is to bring you one trade closer to changing your entire life with every new recommendation. And as I mentioned last week…
My publisher is only allowing a certain number of new participants until the New Year. Recently, we had about 75 spots left…
Now that number is closer to 50! (Thank you to our newest members.)
If you don’t think you’re ready to trade options big time, I’ve built out a whole course just for that purpose…
Editor, Chart Of The Day