Snowflake stock (SNOW)... boom!
Over the years, I’ve realized two things…
- My natural instinct is to try to buy low, buy cheap…
- When you are fighting the (down) trend, it takes a lot of patience…
- Oh, and you can more easily lose money on a downtrending or even basing stock than a trending one.
Hence, in my opinion the best way to buy is on pullbacks within UP-trends. Duh, I guess.
But sometimes bottom feeding works well. It worked spectacularly twice with ZM. Following Zoom Video (ZM), which I originally bought (no current position) for fundamental reasons, I added the Cloud ETF (no current position), per a now public NFTRH+ update.
While taking the profits on those two, I added a couple laggards related to the Cloud/SaaS sector. One of which was – BOOM! – Snowflake (SNOW), a company with a name I hate and a trading profit I love. It is where ZM was back in August, with respect to a break of its downtrend.
Here is the Nov. 6 NFTRH Trade Log entry the day SNOW was added (in the interest of credibility, although NFTRH subscribers would attest to the fact).
In a speculative market (and what, if nothing else, is a giant macro bubble, other than speculative?) this stuff can be fun. Picking, trading, profiting big on (and/or hopefully limiting losses on) stocks that can really move as long as the macro remains pre-pivot,* which it has.
* The pivot will be when we go counter-cyclical, which is not yet near a critical mass of recognition.
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Gary Tanashian