Trade of the Week for April 24th, 2017
The stock MTBC or Medical Transcription Billing Corp made an impressive run this week after releasing positive news regarding new clients and the company’s effort to improve and innovate. MTBC, which jumped over 200% in the past 5 days, first showed up on our radar on Wednesday, 4/26. MTBC announced that they had signed a million-dollar deal with two new clients, as well as forming a new partnership with the Health Compliance Network. In addition, Zacks Investment Research had upgraded MTBC from “Sell” to “Hold”; a good sign which further bolstered investors and trader’s positive opinions of the company.
We were happy to see the stock break through the $1 resistance level and then hold it as support near the end of the day. We receive a lot of questions each day from students asking how we find the best stocks to trade before the market opens. Our favorite type of stock to place on our morning watch list is the one that we already traded in the prior day. Often, the chart lays out a template by showing us support and resistance levels which can be used the following day as defined in our trade plan. In this case, we noticed that the $1 whole number level had held on Wednesday, and this was certainly something that we were watching out for on Thursday. On Thursday, MTBC opened and held the $1 support level before bouncing up to over $2…a 100% gain by lunchtime!
Every single week we find and trade explosive stocks like MTBC alongside our students in our CyberGroup Trading Room. With hundreds of pairs of eyes constantly scanning the market for opportunities, it’s no wonder we find triple-digit gainers so often!
But what do we do once we have a good stock pick? We need a solid trade plan, a strategy, and the proper tools. If you want to learn more about how Fausto Pugliese and his team of instructors trade the market each day with success, please join us for our next FREE online presentation.