Earnings Stock of the Day: VERIVERI is reporting earnings today and was chosen to remind traders that IPOs are not usually profitable. It is very rare to have a company that IPOs with high profits and revenue. Therefore, IPOs are generally speculative as this stock was. It IPO’d around the summer of 2017 and ran up for a month to a new all-time high. Retail investors and smaller funds drove price upward due to HFT activity and the encouragement of financial advisors. AccumDist shows smaller funds buying speculatively, creating the momentum run of August into September. HFTs created the huge black engulfing candle at the peak. Smaller funds and the retail crowd “bought on the dip” and have lost a lot of money since then. Preferred Clients sold into the speculative gains.
It is now near the low that should provide stability to the downtrend and eventually commence the bottom formation. There is no bottom yet as there is no Dark Pool Buy Zone™ yet.
There are no major companies reporting today. It is all small to mid-cap companies. Earnings Season is in the final days of reporting.
VERI trade ideas
A.I. PLUS CLOUDI pointed this one out in the chat on it's parabolic move up as an interesting trend...sector...and parabolic move. Then again mentioned the exhaustion / short opportunities then again the recent sup break and move thru 50% retrace zone. I'm bringing it up now as a sector and type of stock to monitor going forward. A.I. is advancing rapidly . Some A.I. is already writing code better than the code that created it. Many think as smart as it is already it will be 1 million or more times smarter. That rise will occur parabolically along with the nexus of A.I., Cloud, Quantum computers, Hi speed connections and Robotics etc. Think of Veri as A.I. + Cloud. You can see by the chart some traders caught onto this with the recent euphoric rise. It's one to monitor. A.I. will be accessible in the cloud like cloud based software is now. Business's are starting to get access already. Individuals will be able to soon if not already. This will be a game changer. See idea on BOTZ... Global Robotics and A.I. etf. Just seems like a really sweet spot going forward.