Stock Of The Day / 01.17.25 / HOOD

01.17.2025 / HOOD

Fundamentals. Positive analytics and target price increase from Morgan Stanley.

Technical analysis.
Daily chart: Exit upward on increased volume from a two-month price range.
Premarket: Gap Up on moderate volume. Premarket high 48.00 stopped the upward movement.
Trading session: The first attempt to breakout the 48.00 level after tightening to the level was unsuccessful, then the price made a significant pullback, but then continued to tighten and froze into a very narrow range under the level in the period 11:30 a.m. - 11:50 a.m. In case of a breakout, we are considering a long trade to continue the upward movement.

Trading scenario: #breakout (#squeeze) of the 48.00 level

Entry: 48.06 aggressive entry into the breakout.

Stop: 47.89 hide behind the range below the level and behind the round number 47.90.

Exit: Close part of the position around 49.04 after the second unsuccessful attempt to breakout the level of 49.20. Close the remaining part of the position at a price of 48.95 when the structure of the uptrend is broken.
Risk Rewards: 1/5

P.S. In order to understand the idea behind the Stock Of The Day analysis, read the following information.