originally published Thursday, January 07, 2021

All Misc Articles

Red Cat was the subject of a “chartless” buy alert article posted at 3.30 pm this afternoon, chartless because there wasn’t time to do one and post the article with sufficient time for you to buy it if you wanted to before the close, so this article basically repeats what was written in the earlier article, plus a chart. The earlier article read as follows…

“I was considering adding Red Cat Holdings to the list of stocks posted before the open this morning, but held off because I figured it would react back within the current consolidation pattern – it has, dropping 25% on the day at the time of writing.

Red Cat is a drone stock that we have looked at on and off for a while, but it didn’t do much, then last month it took off like a rocket, breaking out from a fine Cup & Handle base on huge volume. The current reactive pattern from its December peak looks like a bull Flag / Pennant and once complete should lead to another upleg that should be big. Today’s heavy reaction has brought it back close to support at the bottom of the pattern, where it is rated a strong buy.

We will look at its chart later today. In the meantime, if you are interested, you should try to buy it before the close.

Red Cat Holdings, RCAT on OTC, trading at $2.10 at 2.58 pm EST.

Posted at 3.30 pm EST on 7th January 21.

So here’s the 3-month chart for when we bought, and it may have been your buying that drove it back up to $2.75 by the close…

Posted at 7.40 pm EST on 7th January 21.

The above represents the opinion and analysis of Mr Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr. Maund is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stockmarket analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Advisor operating in accordance with the appropriate regulations in your area of jurisdiction.