AESE
Stop loss: 1.67 (High risk)
OR
Stop loss: 1.52
Price target: 2.30
Second PT: 2.50
Analysis done on daily candles. Some of the hottest sectors in the markets today are gambling and gaming companies, and AESE is position right in the center of both worlds. The company is focused in the gaming/entertainment and E-Sports in which it connects players and fans through connected area networks, with its flagship area being in Las Vegas. AESE is fairly young to the public market and it had a tough year to start, but their most recent earnings report showed growth and met the expected revenue, which brought volume and upside movement to the stock. On the chart, the stock finished Thursday with strong volume to the ratio of hours traded (being a short day). The stock’s daily candle is also trading above the 200 day moving average for the first time since June, which is a bullish signal.
Stop loss: 11.60 (Low risk)
OR
Stop loss: 10.92 (High risk)
Price target: 14.00
Second PT: 14.60
Analysis done on two hour candles. Village Farms is a company that took a lucrative twist in its business a few years ago and added a new product in its line, cannabis. The Canadian based company is known for their greenhouse grown fresh produce, but they have tapped into the growing cannabis market and have shown success. Considering the growth projection for cannabis and CBD products, investors are on the hunt for the next winner in this sector and VFF has an upper hand because they’ve been in the greenhouse producing industry for a very long time. This means they’ve already spent the extra cost and did the R&D necessary to efficiently manufacture and distribute their products. They also have connections with big box retailers for their exiting products so when CBD because vastly adopted, VFF has a higher chance of making it to the shelves. On its chart, VFF has been accumulating buying volume for months and it’s just now beginning to move towards a breakout. The stock had its big push in November and followed it up last week with another that took it up to 13.00. Since it’s high, the stock has pulled back, but has managed to maintain a healthy range for re entry.
CLSK
Stop loss: 23.00 (Low risk)
OR
Stop loss: 21.80 (High risk)
Price target: 29.00-30.00
Analysis done on 30 minute candles. Cleanspark INC is a named that doesn’t get enough recognition given the field they’re focused on and they services they offer. The company offers energy software that gives solutions to new energy challenges. Their main focus is microgram engineering and design to allow for more efficient energy use in large enterprises. The most attractive thing about the company however, is their focus on providing these solutions to bitcoin and cryptocurrency miners. With the world’s dramatic shift towards crypto in the last six months, CLSK is a lucrative player with strong upside potential. Looking at their chart history, the company is sitting a price point that it hasn’t seen since the start of 2019 and volume looks promising for higher potential. Over the last few months alone, CLSK has seen more buying volume than it has in its entire life on the public market. Volume is the best indicator (apart from price action) to foresee a future of a stock and considering the accumulation volume has been consistent and growing, we can safely create a set up for the short term. Apart from the short term potential, CLSK may be a winner in the long run so its definitely one to consider doing further research on for future growth.
PRPL
Stop loss: 31.50
Price target: 39.00-40.00
Analysis done on daily candles. They didn’t lie when they said the money is hidden in the mattress and Purple Innovations is here to prove it. With revenue increasing by 54% YoY, PRPL is grabbing attention from investors and has a bullish rating from many hedge funds on Wall Street. In the last few months, Purple has partnered up with big box retailers in Canada to expand sales outside of the US markets and they’ve also announced an increase in their 2021 earnings projections, which considerably helped the stock. Although Thursday was a short trading day, PRPL still booked an excellent number of buyers and closed strongly just below the 35.00 resistance, which is also its all time high. Our main focus this week is for the stock to successfully breakout 35.00 and keep the same volume it had on Friday so momentum can carry it to our price targets.
STRL
Stop loss: 18.30 (Low risk)
OR
Stop loss: 17.40 (High risk)
Price target: 22.00
Analysis done on two hour candles. As mentioned by many of our analysis over the last year, construction companies continue to be a strong bone of many investment portfolios considering construction didn’t stop or flitter with the rise of the pandemic. In fact, construction increased over the last year, proven by the rise in demand for construction materials such as lumbar. Sterling Construction has been in business for a long time and they have consistency grown their numbers as they’ve progressed. They also recently provided an update of stronger projections for 2021, which is one of the key things investors look for. Another exciting update for the company is their recent Nevada project that’s worth $35 million. In terms of their chart’s position, STRL launched into its 52 week high recently with very attractive buying volume. Since then, they’ve pulled back with very little selling volume. Our entry here is based on the 10 day moving average support bounce.
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The stocks posted are the preliminary stocks and set ups we’ll be watching this week. All price points are subject to change based on market performance and sector health. Please do your own research and analysis on these companies/charts before taking on any set ups. Trade at your own risk and as always, good luck! Let’s have a fantastic week.