This article is for education purposes only, and not to be taken as advice to buy/sell. Please do your own due diligence before committing to any trade/investment.
In the blink of an eye, we are entering March, the last month of the first quarter.
And the festive season has concluded.
Did you have a great time feasting and mingling with your family and friends?
March could be a fantastic month for these 2 stocks. But before I share them, let’s have a recap of the 2 stocks shared last month: StoneCo and Unilever.
While the shares of Stone Co didn’t perform as expected, the shares of Unilever did!
Furthermore, the share price of Unilever is still rising.
Congrats if you’ve caught it!
With this, let’s turn our attention to Rithm Capital and Western Digital.
Rithm Capital (NYSE: RITM)
Source: ir.rithmcap.com
1. About the Company
Rithm Capital was founded in 2011, operating as an asset manager.
The company primarily focuses on providing credit and financial services to the real estate market.
It has attracted investments from investment titans such as Vanguard Group and Blackrock.
With their stamp of approval, is it a good idea to buy its shares for a position trade?
Let’s find out in the next section.
2. Position Trading (Daily)
With a quick glance at the chart of Rithm Capital’s share price, can you tell that its share price is in an uptrend?
Here’s a quick way to read a trend: when there are more blue candles (outlined or solid) than red (outlined or solid), you can conclude that its share price is in an uptrend.
You won’t need to put on the moving average indicator or draw any trendlines.
Without the need to draw or plot anything, you can als0 tell if the time to buy its shares for a position trade is here!
You can do so by focusing on the 2 main indicators – the green arrow and the Trend Impulse Factor.
When there’s a green arrow under the most recent candle, a fresh bullish burst is here.
A look at the color of the bar of its Trend Impulse Factor indicator will reveal if the momentum is likely to continue for a position trade.
The bar of its Trend Impulse Factor indicator isn’t dark green yet. This means that this bullish momentum is unlikely to continue in the near term.
Hence, you’ll want to keep this stock in view and wait.
I have a feeling that the green arrow and the bar of its Trend Impulse Factor indicator should turn green sometime soon, so I’m keeping this in my watchlist.
Western Digital (NASDAQ: WDC)
Source: investor.wdc.com
1. About the Company
Western Digital was founded in 1970.
Fast forward, the company develops, manufactures, and provides data storage devices and solutions.
Given the growing demand for cloud computing, Western Digital has forayed into this market.
Coincidentally, Vanguard Group and Blackrock are also its major investors, amongst others.
Should you be buying the shares of Western Digital for a position trade?
2. Position Trading (Daily)
From the daily chart of Western Digital’s shares, you can tell that its share price is in an uptrend.
In addition, there’s a green arrow under its latest candle.
The presence of this green arrow tells you that a fresh uptrend is here.
But, does this mean that the time is ripe for a position trade?
Let’s have a look at the color of the bar of its Trend Impulse Factor indicator.
Do you notice that its bar isn’t dark green in color yet?
This suggests that the bullish move may not be sustainable in the near term.
Therefore, you’ll want to wait patiently for the appearance of both the green arrow and the dark green bar of its Trend Impulse Indicator.
Similarly, I have a feeling that the green arrow and the bar of its Trend Impulse Factor indicator should turn green sometime soon, so I’m keeping this in my watchlist.
Conclusion
Source: unsplash.com
Both stocks are enjoying a bullish run of late.
However, they aren’t ripe for a position trade yet. Therefore, I’ll continue to pay close attention to them.
Trading stocks without a proper system can be highly risky. This is why TGPS was created. The indicators will help you determine if a stock is ready for action to be taken. You won’t have to feel in the dark and make wild guesses.
What are your thoughts?
Share your thoughts with me below!
