Bullish on EXELA IF some things happen
This one is at the top of my watchlist.
Exela has cut its debt dramatically but has had poor financial performance. It SaaS product services banking institutions, which have been struggling. They have a reverse stock split vote tomorrow and an earnings report on 5/11. They have been notified of delisting for being under $1.
****This could continue to be a crappy performing stock.
However, I do like that its product is ISO 20022. This is huge.
However, from a technicals perspective:
It just printed a double bottom at .0330. If that holds after the split vote tomorrow, we could see some major action.
***** If .0330 breaks, it will capitulate. Especially with a poor earnings report looming and R/S split looming. And next week might be the buy. No clue what the entry will be.
It is printing bullish divergences on the monthly and weekly Cipher B Indicators.
My RISK rules for this trade:
.0330 needs to hold.
Buy now (HIGH RISK/REWARD) but put a sell limit at .0328 to mitigate risk. If .0330 breaks it will fly down.
Buy tomorrow after the R/S vote if .0330 held.
If .0330 breaks at any point in time, wait until after the earnings report on 5/11 for a new bottom.
Also, This is not financial advice. I day trade and swing trade. I do not buy to hold. I do not always update my ideas when I exit a trade. I do not have a target sell for this trade.
Exela has cut its debt dramatically but has had poor financial performance. It SaaS product services banking institutions, which have been struggling. They have a reverse stock split vote tomorrow and an earnings report on 5/11. They have been notified of delisting for being under $1.
****This could continue to be a crappy performing stock.
However, I do like that its product is ISO 20022. This is huge.
However, from a technicals perspective:
It just printed a double bottom at .0330. If that holds after the split vote tomorrow, we could see some major action.
***** If .0330 breaks, it will capitulate. Especially with a poor earnings report looming and R/S split looming. And next week might be the buy. No clue what the entry will be.
It is printing bullish divergences on the monthly and weekly Cipher B Indicators.
My RISK rules for this trade:
.0330 needs to hold.
Buy now (HIGH RISK/REWARD) but put a sell limit at .0328 to mitigate risk. If .0330 breaks it will fly down.
Buy tomorrow after the R/S vote if .0330 held.
If .0330 breaks at any point in time, wait until after the earnings report on 5/11 for a new bottom.
Also, This is not financial advice. I day trade and swing trade. I do not buy to hold. I do not always update my ideas when I exit a trade. I do not have a target sell for this trade.
Trade closed: stop reached:
Bottom dropped out. Volume is extremely high. Will re-visit next week after earnings report and reverse split decision.