Drones are coming ! TAKOF drone delivery Canada is going mad !!so we covered the stock thoroughly in our DD article on our site so I will not expand here but just go over several facts:
they were founded in 2014 and currently using an AI integrated system called FLYTE that is not fully AI yet and monitored by staff in DDC headquarters but I expect full AI in the upcoming years.
they have 3 main types of drones the smallest called Sparrow with a range of 30km and can carry 4.5kg of payload
the second drone is Robin XL which can travel 60 km and can carry 11.3kg of payload and the biggest one goes by the name of Condor and can carry over 180kg and can travel 200 km distance which looks like a mini-helicopter!
the drone industry is expected to cross 300 B $ by 2030 acc to estimations by ARK invest that caused the drone industry to rally up
we choose to focus on this stock because the fundamentals are great but the technical are amazing !!
Let's talk Technicals:
The stock was IPO at 1.3772 and it is now touching the IPO level at 1.3558- reached a high of 1.5372 last week.
I LOVE that fact the POC is so high (red line)!! that is very very rare – the POC is at 1.442 which is currently higher than stock price (this formation of the volume is called P shape)
The purple square on the right shows us again an unusual behavior – the higher price levels are already accumulated so the stock can easily pass these areas with no need for convergence (good !)
The lower areas below 1.07 are empty meaning that if the stock drops to that area it can easily keep falling as these areas are not tested (Bad!)
so we cannot have stock falling below 1.08.
Stochastic is in the overbought area but we saw it correcting a bit in the last 4h which is prob because of the pump and dump behavior of the market lately which affects most of the other penny stocks.
One last thing worth mentioning is the tiny gap we have between 1.31 to 1.34 which may need to get filled as gaps will usually do but this is so minor that it won’t have much effect.
How would I play it > I would see pre-market action as always and see if I get a nice pullback to enter, if we see stock rallying pre-market we would not enter until around 17:00 – 18:00 UK time as it is the reverse of the true direction of the stock and can give us a nice correction entry.
We at FDGT the Traders Union are very bullish on the stock and we gave it a price target of 2.7 in the upcoming 2 months - with this meme market we may see it in the upcoming weeks LOL
we trade on our own rules! see you in the take profit
Cheers and be safe!
Droneattack
Alpine technologies -one step ahead of the drone market!Let's analyze ALPP – Alpine 4 Technologies – this stock has been making big waves and still haven’t hit the mainstream eye of the common investor. So what do they do? many things such as sheet metal manufacturing and other things but we are not here for that we are here for ONE reason – DRONES !!! if you are not in the loop – drone technology is coming in and it's coming in big! from autonomous deliveries to city surveillance and even to Army and espionage missions – what can be better than sending an unmanned vessel to get footage in hostile areas. Drone technology is already being experimented in china at the highest level and the US FAA is now passing new regulations in favor of drone technology as a part of “catching up with the previous highest high”- hope this sentence doesn’t upset the readers but it is true – China is leading in drone technology on the USA at the moment. Alpine bought several companies in the drone sector and one of them is “Impossible Aerospace” which makes high-performance drones, and the company is led by Tesla’s battery developer Spencer Gore. Alpine also bought Vayo this month (January 2021) which is another drone maker and it seems as Alpine is creating a high-level drone environment where almost everything is manufactured “in-house”. If we consider ARKX space ETF that is coming out and stated by Cathie Wood to have drone tech stocks – this stock can have a lot of potential upside room
Let's look at the Technicals :
The stock has begun rallying up in December from 0.6$ all the way to 4.7 in 18 days – that is a 700% rise !! so obviously what we wanted to see is a massive correction to say this is a healthy trend. We got a correction to the 50% line with accumulation happening between 2.3$ to 3.2$, so what’s next?
1. According to volume analysis and market cycle analysis the stock needs to give us a bit more on the downside to reach 3.13 or so and that’s when we know we are looking at the upside move next.
2. From 3.13 to 3.7 we need to see a zigzag formation (accumulation of orders and new options), this will be fairly fast in my opinion considering the hype on ALPP is rising every day.
The break out from this stage will end around 4.5 to 4.7 which is the highest high.
3. From here it will stall a bit and accumulate to the 5$ mark again in a zigzag formation and it will rise to the next target which is above 5$ - eventually touching the 6$ line.
This is basing on the fact that the first motive wave has ended on Dec 28th and the volume has significantly decreased showing us the “herd” effect of investors pulling out at this high. So after we get our full correction done we can expect a new motive wave that will end in my opinion over 6$.
The company has a great product and well-positioned in the drone race that we at FDGT are very bullish on it.
Wishing you all to be safe and trade safe.
Spitting Thoughts : BRENT/WTI, Trading the Drone Attack?....I had a friend who said to me as soon as I said I have a Long position on an airline stock CFD, would I short sell that stock CFD if, god forbid, something bad happens to that airline? It made me sick to think about it. If there were accidents happened and there were ways that me as a currency/stock CFD trader, able to take advantage of it i.e short or long the involved currency or stock while someone probably hurt or died from that accident, would I still do it?
I do not know as of now if there were human casualties from this drone attack to Saudi oilfields (I pray that no one was killed) but as soon as I read the news yesterday, I knew the oil price would shoot up. I could not help myself as a trader, almost immediately, thought of this: buying the dips.
The Brent closed at $ 60.43 and price as of now is $ 67.xx. I appreciate institutional traders do manipulate market prices for Brent and WTI. What makes the energy market little bit more sensitive is it like pegged with geopolitics. The market reacts this way because potentially, this oil field destructions would cost Saudi 50% of their daily production. The supply will be definitely affected. Demand
Enough fundamental analysis, what does the technicals tells us? There is nothing in my end. Price shoots up and the spike, at the moment has stopped. I am not saying I will trade this as I do not feel good about it, but if someone asked me if I was a human being with no heart and still want to trade the Brent based on this, what would I do moving forward?
Buy the dips. I will look at "key" old resistance levels and see If I could find bullish triggers around that price levels at $ 66.00 - $ 66.50. I expect the price will continue to go up as long as the narrative remains that Saudi Arabia production will be affected, even the company that runs the oilfield claims that they will get it running in no time, market confidence will remain bearish on the company (consequently bullish for the Brent and WTI). Retail traders who don't care much about fundamental analysis, is already lining up to short this instrument hence that is just FOOD for institutional traders who looks at liquidity above anything else right now.
But please, don't trade this.