$TDOC IPO’d in 2015 at $30/share. After a few weeks +/- a few bucks, the stock began a painful decent and never fully recovered for nearly two years into mid-2017. It has since spent the past 8 months-ish forming a high base just above it’s IPO price and now appears to be finally catching a serious bid as the stock climbed above the $38 level.
HOLLY took notice on March 14th and offered a buy signal to subscribers. Since that alert, I’ve been monitoring the stock for a swing trade and today’s price action confirms to me it’s time to participate.
With a market cap of $2.5 billion and average daily trading volume of over one million shares, this stock could finally be heating up and getting ready to deliver on the promises made to IPO investors back in 2015. There is nothing but blue skies ahead for this “telehealth services” provider in a sexy industry. I’d be willing to bet any bit of serious momentum could turn this stock into a 10-bagger inside of 6 months.
SWING TRADERS: We’ll be adding Teladoc $TDOC to the @tradeideas HOLLY Hot List at tomorrow’s opening print. Quietly (HOLLY hears the whispers) breaking out of a multi-month base into new All-Time Highs. https://t.co/0jtsUNxyyl pic.twitter.com/7mV4Ihl4v4
— Sean McLaughlin 📈 (@chicagosean) March 21, 2018
We’ll be adding $TDOC to the HOLLY Hot List portfolio at the opening print of tomorrow’s trading (Thursday March 22, 2018). And as always, we’ll manage this swing trade with a generous 20% trailing stop.
HOLLY Hot List Portfolio Update
We’ve seen some improvement in the portfolio since our last update, led primarily by gains in Smart Global Holdings, $SGH which has surged over 16% since our entry 5 trading days ago.
While nobody likes to see an average P/L per trade in this portfolio to be a negative number, the important metric to focus on is the Average Available Alpha per trade. This metric shows you that on average, each trade in this portfolio saw as much as a 12%+ gain at some point during our hold. This tells us that there is tremendous opportunities to be systematically taking small profits along the way — trading around positions.