What Makes This Trade Great: ONMD Analysis

What Makes This Trade Great: ONMD Analysis

May 23, 2024

Hello everyone, Barrie Einarson here from Trade Ideas with today’s edition of “What Makes This Trade Great.” Today, we’re diving into an intriguing stock that caught my eye: ONMD.

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I have to start by admitting something – I generally avoid trading stocks under a dollar. It’s a personal bias I’ve held for a while, but today’s action on ONMD has me rethinking that stance.

Let’s take a closer look at ONMD. Early this morning, specifically around 7:00 AM Eastern time, the stock started showing some fascinating movements. Although I wasn’t up quite that early, being on the west coast, I tuned in a bit later and saw what was happening. The stock surged from $0.46 all the way up to $1.65 during the pre-market session. This kind of movement is hard to ignore.

ONMD was front and center among the relative leaders from the close, a standout performer you couldn’t miss. Here are some of the key points from today:

  1. Pre-market Rally: The stock’s climb in the pre-market was impressive, setting the stage for the day.
  2. Opening Bell Action: At the opening bell (9:30 AM Eastern), there was a significant candle that initially suggested the rally might be over. However, the stock found support at around $1.14.
  3. Intraday Opportunity: Even if you missed the early pre-market action, there was still a viable entry point around $1.15. The stock then popped up to $1.66, offering a solid intraday trade opportunity.
  4. Volume and Float: With 147 million shares traded and only about 10 million in the float, the action was quite remarkable. This kind of volume indicates strong interest and activity, crucial factors for day traders.

The primary goal in trading is to capitalize on the opportunities that present themselves each day. ONMD provided a textbook example of such an opportunity. While I’m not making any predictions about the stock’s performance tomorrow, today’s action was undeniably exciting and profitable for those who were able to catch it.

Closing Thoughts

Remember, trading is about adapting and being open to new possibilities. Today’s performance by ONMD has reminded me of the importance of flexibility and keeping an eye on all market movers, regardless of their price.

Thank you for joining me today. I’m heading back to the trading room now, but I’ll see you all tomorrow with another edition of “What Makes This Trade Great.” Have a great evening!