Posted On: 07/23/2015 3:26:35 PM
Post# of 103016
Trade Idea: MagneGas Corp. [ NASDAQ: MNGA ]
As many of you may remember, on May 6th, 2015 I alerted MNGA for the first time at $0.74 which resulted in a one day maximum gain opportunity of 27% after the company rallied to a day high of $0.94. Realizable gains attainable from the alert that day to the majority of you was 16%. In my follow-up after my initial alert I noted “We believe MNGA could possibly provide investors with further upside opportunity.” A few weeks later, MNGA was trading at a high of 1.58 from our alert price of 0.74. Keep in mind that despite acknowledging the continued upside available after the initial opportunity, and despite the 113% cumulative rally that resulted from our alert price, our gain tracker only shows 16% gains.
I have been following MNGA ever since and I believe the current trading setup as well as significant corporate developments have resulted in a new dynamic that may be capable of providing us with realizable gain opportunity, once again.
Highlights:
• Last Close: 1.10 | Yahoo Finance Quote
• Support 1 : $1.09; Support 2: $1.02
• Resistance 1: $1.27; Resistance 2: 1.52
• Since the high of 1.58 attained following our initial alert, MNGA has drifted lower and currently looks to have found near term support at current levels.
• Based on historical trading, it appears that previous resistance of $1.03 during MNGA’s last rally has turned into support and the chart could potentially be setting up for another move higher.
As many of you may remember, on May 6th, 2015 I alerted MNGA for the first time at $0.74 which resulted in a one day maximum gain opportunity of 27% after the company rallied to a day high of $0.94. Realizable gains attainable from the alert that day to the majority of you was 16%. In my follow-up after my initial alert I noted “We believe MNGA could possibly provide investors with further upside opportunity.” A few weeks later, MNGA was trading at a high of 1.58 from our alert price of 0.74. Keep in mind that despite acknowledging the continued upside available after the initial opportunity, and despite the 113% cumulative rally that resulted from our alert price, our gain tracker only shows 16% gains.
I have been following MNGA ever since and I believe the current trading setup as well as significant corporate developments have resulted in a new dynamic that may be capable of providing us with realizable gain opportunity, once again.
Highlights:
• Last Close: 1.10 | Yahoo Finance Quote
• Support 1 : $1.09; Support 2: $1.02
• Resistance 1: $1.27; Resistance 2: 1.52
• Since the high of 1.58 attained following our initial alert, MNGA has drifted lower and currently looks to have found near term support at current levels.
• Based on historical trading, it appears that previous resistance of $1.03 during MNGA’s last rally has turned into support and the chart could potentially be setting up for another move higher.
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