OK starting this thread:
I’m a fan of some of the stocks the oak bloke writes about.
Evolv (EVLV): I posted in the in-app community yesterday (Fri) during early trading.
The screenshot chart is when I posted in-app. After that the price dropped to about 3.50 (so 10%+ drop) and then recovered to 3.83.
I like EVLV as a speculative (high risk) stock. They do security scanning/screening products using AI (ie for airport security). The chart was at a crux point anyway with the price having broken a falling trendline and then pulling back to that falling trendline and also sitting on a rising trendline and horizontal support.
Yesterday I think there was news about a trial in New York. I don’t actively follow all news for the company so could be wrong but my understanding is that earlier in the year the New York mayor wanted to trial EVLV scanners at a subway station but the company said that they weren’t designed for that environment but the trial went ahead anyway. Yesterday I understand that there was some news that the mayor’s decision to do the trial is being questioned and there is the standard civil liberties objections.
I think there may have already been reasonable short interest and I get the impression that the news was used to short it hence the drop but the company has a lot of potential. Security screening/scanners are a growing huge market with worldwide demand and EVLV is seen as having an innovative product. Thus have to wonder whether there is potential for a short squeeze.
There’s lots that can be said about the chart to support both bulls and bears. Fundamentally it seems like its at a crux point looking to decide short term direction. Just highlighting it for discussion and as an interesting chart.
Microsoft: (I posted this in the in-app community)
Is anybody else liking Microsoft’s chart at the moment?
The price is sitting at a clear support/resistance level that goes back to Feb 2024. Results in just over 2 weeks and just above a rising trendline.
There’s the risk that it could break out of the trendline and that may be the trigger for a reasonable drop but if it bounces of the support at could head toward 450. Over the last week I’ve heard a few people suggesting 500 as a short term target which looks optimistic but would be within the long term trendlines.
Looking at the recent chart in more detail
There is a strong support level with the purple line at 400. When the price first hit the lower yellow resistance it held below it for a month (14 Mar to 15 Apr) before dropping away and never made a convincing attempt to actually break through it. After the Apr pullback it again went to the lower yellow resistance and after a week broke through it to the middle yellow resistance for 10 days (21 May to 30 May) before breaking down to make a higher low and it then broke through all 3 yellow resistance levels with only slight pauses at the lower and higher levels. It then fell back to the purple resistance in a fairly steep and continuous decline before reverting to the lower yellow level for a weak attempt at that resistance (3 days) but then pulled back to only touch the purple resistance making a higher low and then went straight to the higher yellow line to make a higher high. The lower candle body for the last 3 days have been flat and the body size has decreased perhaps signalling some uncertainty and no clear bull or bear strength. Thus the first part of next week may decide whether it is going down to the purple resistance or back up. Both day high and day low were higher yesterday than Thursday but yesterday was a bearish engulfing candle so I think you could argue it either way so it just feels like a point of indecision. Thus definitely something to watch early next week for signs of reversal and depends on trading style
