What Makes This Trade Great: NNE

What Makes This Trade Great: NNE

Jul 1, 2024

Hello, traders! Barrie Einarson here from Trade Ideas with today’s edition of “What Makes This Trade Great.”

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Guess what, folks? We’re diving into NNE again. This is at least the third or maybe even the fourth video I’ve done on this stock in the last couple of weeks, and it’s hard to ignore it.

Let’s break it down. We had an alert from RAI at $28.86. This alert came in on a specific candle, giving us a solid entry point. Now, I understand the beginning of the day wasn’t the easiest—NNE was chopping around a bit. But look at what happened! The stock climbed up to the alert point and then dipped back down to $26.

You had all sorts of time to get into this one. Probably at least 45 minutes if you wanted to wait. It wasn’t a rush job; you could afford to be patient.

So, where do we think this is going? If you look to the left on the chart, $38 is the next high. However, we need to be cautious due to the topping and bottoming tails we see. These patterns can indicate potential resistance and support levels that might cause volatility.

NNE is what I call a “story stock.” This means that the movement isn’t just about the numbers; it’s also about the narrative. NNE is tied to micro reactors and nuclear technology, a hot topic with a compelling story. When you buy into NNE, you’re also buying into the potential of this technology and its future applications.

There’s no denying it—NNE has had an amazing run over the past two weeks. It’s one of those stocks that has captured the market’s attention, and for good reason.

Alright, everyone. That wraps up today’s edition. I’m heading back into the trading room. Have a great evening, and we’ll catch up again tomorrow with more insights on what makes trades great. If you have not checked out my homepage you can do so here

See you then!