Climbing Wall of Worry

How genuine is this Feeling: the worst of 2022 could be over. When the market bounces back sharply from lows even on bad news, then you cannot blame traders for having this thought. Today the market continues with its upmove and now the market seems to be climbing despite worries (Inflation, Interest rate hike, recession, and Geopolitical worries). The market environment has changed so much that the stocks are now rallying ahead of earnings.

I like SOFI

SOFI stock is up 28%. Now one can say how can one buy a stock that’s up so much. But considering how this stock has performed over the last six months, this move looks like the start of a new run. One can buy with a stop loss below 7.5 even at the current market price of 8.2

The momentum has come on the back of strong earnings. The company has raised full-year revenue guidance to $1.51 billion, representing a 50% growth YOY. Imagine how the stock has performed and how the business has done and hence the upmove will shock everyone.

PagSeguro Digital making a comeback

Brazilian fintech PagSeguro Digital after bottoming near $10 is making a decisive move today. Considering the state of the market we are in and investors again chasing fintech firms, this stock should do well in the next few days and weeks. It’s a high-risk high-return stock in the current scenario.

Why Solar stocks are down today?

Solaredge SEDG has been a leading solar stock and it came out with disappointing earnings and it’s down 18.5% today and with it the entire solar stocks landscape. The two stocks I like: FSLR and NOVA continue to be good hold as they delivered impressive earnings and the market loves solar energy stocks.

Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purposes. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers