I love researching the stocks you all submit for my Quick Takes videos…
If you’re new to True Options Masters, my weekly Quick Takes videos are where I break down a company solely on its price chart, and look for a potential trade setup.
After all, price is what we base our returns on. That makes it the most important element to look at.
It’s always a pleasant surprise to see what people are most interested in trading. And it’s even better to know that once I send out my video, someone out there is getting a thorough look at their favorite ideas. (Do you have a stock you want covered? Write us at TrueOptions@BanyanHill.com or comment on my latest video.)
But every now and then, someone throws out a stock I’ve never even heard of… And sometimes those stocks wind up not only having great trade setups, but also the potential for longer-term investments.
That’s exactly what happened in this week’s video… Just click below to check it out.
The standout in this week’s Quick Takes is Joby Aviation (JOBY).
John left this stock ticker in a comment on my last YouTube video, so I wanted to feature it in this week’s Quick Takes.
But I’d never heard of the company before… So I had to look up what they did.
Keep in mind, in Quick Takes, all we care about is the price chart. A stock can have all the strong fundamentals in the world, but still not make for a great trade.
I was looking into JOBY simply out of curiosity. I wanted to understand the company. And after looking into it, I realized Joby is serving an area of consumer demand that hasn’t been met, making it a unique opportunity.
It’s in a highly interesting industry — electric air travel.
As you can imagine, the distance traveled is still relatively small, about 150 miles. But Joby is pitching their services as a way to get in and out of cities, heavily congested airports, etc.
Think of it as a helicopter with vertical takeoff… but a ride like a personal aircraft — the best of both worlds.
This is a company I definitely want on my watchlist.
To see if I think it is a buy or sell today, just watch my latest Quick Takes video and see what the price action is telling us.
Chad Shoop, CMT
Editor, Quick Hit Profits
Chart of the Day:
Uber’s Long, Strange Trip
(Click here to view larger image.)
What a long, strange trip it’s been for Uber Technologies (UBER)…
The stock went public at around $40 per share, dipped below that level throughout much of 2020, reclaimed it and ran higher in 2021…
And now, it’s basically back to where it started.
Note the two horizontal yellow lines on the chart above. They mark significant weekly support/resistance for UBER stock.
Why? Just look at how the price has behaved. We’ve had multiple candle and wick touches of those levels since Uber’s IPO. Often, the stock’s gains or losses have stopped dead in their tracks at these lines.
This is why I value these horizontal support/resistance lines so much. They build up more evidence over time, and tend to act as great buy and sell signals. But they’re best used with another technical indicator, in today’s case the MACD.
Just like we observed yesterday, the blue MACD signal line is about to cross over the longer-term orange line on the weekly UBER chart. This could signal a significant change in trend to the upside.
Should UBER end the week in the green, and cause the blue signal line to cross over, it’s game on. We could see a much higher UBER share price in the weeks to follow.
And this is all without a peep about Uber’s own electric air travel projects, which JOBY is clearly trying to tackle…
This is one to watch.
Managing Editor, True Options Masters