“4” reasons to go long CLSKI went long NASDAQ:CLSK again - at 12.3175 at the close today. Since this summer when I started posting ideas, I've made 5 trades in NASDAQ:CLSK and made an average of almost 13% per trade and those 5 trades averaged under 3 days in length (all verified in ideas I've posted here).
The miners are such a gold mine when it comes to how I trade. One of the keys for the average person when it comes to the miners is to look in the “minds” for the stock. When everyone there starts complaining about conspiracies, criminality, or changing their mind back to “this thing is garbage” 2 weeks after they were gleefully shouting “to the moon” and posting rocket emojis, you know it’s getting close to time to buy 🤣.
Seriously, though. My algo says it’s time to buy and you know I don’t question its judgment. But if you just look at the chart, there are a few other things that also poke you in the ribs and whisper “buy itttttt”.
1) Uptrend - the regression channel here makes it obvious, but NASDAQ:CLSK has been in an uptrend since the beginning of September. The trend is your friend until it ends - and it hasn’t yet.
2) Higher highs and higher lows. Part of the uptrend thesis, but until this closes below 9.80 (an over 20% loss from here), the uptrend is intact.
3) Minor (no homonymous pun intended) support at 11.40 from the low of the gap up candle.
4) Finally, 4 consecutive down days. Going long after 4 down days in a row has been an incredibly quick and reliable payoff for quite some time now. You’d have to go back to September of 2022 to find a 4 down day buy that didn’t pay off in under 3 weeks. In fact, it has only taken even 3 weeks 2x since then. The most common payoff is 1 day, and almost all have been less than a week since Sept. of ‘22. I’m all about the quick payoff and I’m expecting this one to be as well.
Per my usual strategy, I'll add to my position at the close on any day it still rates as a “buy” and I will use FPC (first profitable close) to exit any lot on the day it closes at any profit. Depending on the situation, I may sell calls as well since the premiums on miner options are just ludicrous.
As always - this is intended as "edutainment" and my perspective on what I am or would be doing, not a recommendation for you to buy or sell. Act accordingly and invest at your own risk. DYOR and only make investments that make good financial sense for you in your current situation.
