Bitcoin is trading at an all time high and if you don’t have any bitcoin exposure in your portfolio, looking for a company that operates in the blockchain sector can be another way to trade this hot market.
We recently started a long position in GLXY.TO (Galaxy Digital Holding Ltd.), an asset management firm that operates in five different segments : trading, principal investments, asset management, investment banking and mining.
I am not going to discuss the fundamentals within this company but rather we will focus on the technical side. A small bull flag formation in a weekly timeframe thus we are pulling our trigger to trade this.
In our opinion, there’s still an upside potential on this stock despite it lags among the other US counterparts such as MSTR (MicroStrategy Inc.)
How do we trade this:
Our entry price was at 12.90 and as long as this consolidates at around 12.90 – 13.50, we will keep adding to this. Our stop is at 11.50 and this will give us enough room to play if ever the GLXY downside moves invalidates our play. Because if Bitcoin pullback at around 65-68k level, this stock will follow the sentiment.
Our initial target exit price is at around 18.00 level which I believe that if the buying volume picks up this will further push up to 20.00 – 22.00.
Remember if you are new to this, trading is hard. Nothing here is guaranteed. What we can guarantee is that we worked so very hard researching to this on why we are taking this trade and in order to simplify for you.
P.S.
If you are looking for a zero commission trading platform and plan to trade Canadian stocks, we highly recommend the Wealthtrade/ Wealthsimple platform.
If you sign up here at Wealthsimple website using our referral code JZGSFA (terms and conditions apply), both of us will get $25 each.
You could use your $25 to buy your GLXY share I’ve written above with zero commission.
While I will donate the $25 to the Sick Kids Foundation.
It’s a win – win move.
See you in our next play,
B+M Trader