Hello, everyone! Barrie Einarson from Trade Ideas with today’s edition of What Makes This Trade Great! To Subscribe to Trade Ideas: https://go.trade-ideas.com/SHQ
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Today, I want to draw your attention to BIAF.

We received an alert at 10:10 a.m. Eastern when the stock was trading at $7.42. At first, it did not do much. The stock simply chopped around near VWAP, represented by the purple line on the chart.

This is where patience became important.

BIAF continued trading sideways until approximately 11:45 a.m., when it finally began to move. Traders did not necessarily have to enter the position immediately after the alert. Instead, they could have added the stock to a watchlist and set a price alert near an important level.

One reason BIAF deserved attention was its premarket action. The stock had reached $9.03 before the opening bell, showing that it was capable of making a significant move.

Of course, there was no guarantee that BIAF would return to that premarket high. However, the earlier strength gave traders a good reason to keep watching—even when the stock initially appeared to be doing very little.

The daily chart offered another valuable clue. BIAF had experienced a major move just a couple of weeks earlier, which meant the stock was already on the radar of many active traders.

When a stock has a history of making explosive moves, demonstrates strength during premarket trading and then appears in a Trade Ideas alert, it is worth monitoring closely.

BIAF ultimately turned into an excellent trade, but the key lesson was patience. An alert does not always produce an immediate move. Sometimes the best opportunity comes later, after the stock spends time consolidating and traders have nearly stopped paying attention.

Use the alert as a starting point, study the chart and set price alerts so you are prepared if the stock begins to move.

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This content is for educational purposes only and is not financial advice.