$Bakkt Holdings (BKKT.US)$ Risk Level: 7 (Moderately High Ri...
Risk Level: 7 (Moderately High Risk)
Investing in BKKT carries a moderately high-risk score of 7, primarily due to the company's ongoing financial struggles, as indicated by its negative earnings and operating cash flows. The recent high volatility, marked by a substantial price surge, suggests potential instability in market sentiment. While the positive news catalyst offers an entry point for swing traders, the company's lack of profitability raises concerns about its mid-to-long-term viability. The absence of hot sector backing adds another layer of risk, making BKKT suitable mainly for experienced traders who can manage associated risks effectively. Overall, traders should be cautious in allocating too much of their portfolio to this stock.
Investing in BKKT carries a moderately high-risk score of 7, primarily due to the company's ongoing financial struggles, as indicated by its negative earnings and operating cash flows. The recent high volatility, marked by a substantial price surge, suggests potential instability in market sentiment. While the positive news catalyst offers an entry point for swing traders, the company's lack of profitability raises concerns about its mid-to-long-term viability. The absence of hot sector backing adds another layer of risk, making BKKT suitable mainly for experienced traders who can manage associated risks effectively. Overall, traders should be cautious in allocating too much of their portfolio to this stock.
Levels
Support Level: $13.50 - This level is derived from recent price consolidations and presents a base where the stock has shown resilience.
Resistance Level: $37.00 - This aligns with previous price peaks and could represent a potential breakout point if the stock continues its upward trajectory.
Support Level: $13.50 - This level is derived from recent price consolidations and presents a base where the stock has shown resilience.
Resistance Level: $37.00 - This aligns with previous price peaks and could represent a potential breakout point if the stock continues its upward trajectory.
Trading Strategy
With a trading score of 6.65 indicating a suitable swing trade opportunity, a long bias is considered appropriate for this stock. Allocating 15.77% of a trading equity (assumed $10,000), the entry point is identified at $37, motivated by recent price breakthroughs and the potential illustrated by significant news-related movements. A stop-loss is advised at $29.292 to mitigate downside risk, firmly within strategic risk management boundaries. Targeting a profitable exit at $61.134 supports a robust risk/reward ratio of 1:3.13, taking into account market developments and the stock's capacity for rapid appreciation.
Equity: $10,000
Bias: Long
Allocation: 15.77%
Position Size: 42 shares
Entry Price: $37.00
Exit Price: $61.134
Stop Loss: $29.292
Risk-Reward Ratio: 1:3.13
With a trading score of 6.65 indicating a suitable swing trade opportunity, a long bias is considered appropriate for this stock. Allocating 15.77% of a trading equity (assumed $10,000), the entry point is identified at $37, motivated by recent price breakthroughs and the potential illustrated by significant news-related movements. A stop-loss is advised at $29.292 to mitigate downside risk, firmly within strategic risk management boundaries. Targeting a profitable exit at $61.134 supports a robust risk/reward ratio of 1:3.13, taking into account market developments and the stock's capacity for rapid appreciation.
Equity: $10,000
Bias: Long
Allocation: 15.77%
Position Size: 42 shares
Entry Price: $37.00
Exit Price: $61.134
Stop Loss: $29.292
Risk-Reward Ratio: 1:3.13
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#part time trader trying so hard to make full time income whatever strategy works then I don’t have to work anymore.
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Bigmoney Dreamer OP : Staying away from this high risk can’t afford to lose money here setting alart and forget
Lnova Bigmoney Dreamer OP : same lol
Bigmoney Dreamer OP Lnova : If you can identify your risk management you will have more time to wait and hunting for very profitable high probability setups like $Sensus Healthcare (SRTS.US)$ at about to run higher very soon which can may be missed if you focus on stocks everyone chasing