Analyzing a 350% YTD Performer: INOD
As part of the 2023 Best Charts series.
Today at a glance:
Chart Markup: INOD
2 Key Lessons
1 scan to catch names like INOD
Let’s dive in:
One of the easiest ways to improve in the market is by carving out time in your daily routine to mark up winning charts. This habit will help you develop your eye to spot winning charts in real-time.
I try as best as I can to do this daily and will start to send out my markups through Substack as well.
Today’s Deep Dive: INOD
1. Institutional Accumulation Can Come In Many Forms
This chart of INOD is intriguing due to the clear indicators of institutional accumulation and price maturation. Notable observations include:
Volume Surge: Since May, there has been a substantial uptick in average trading volume, up nearly 7x. This suggests growing institutional interest and participation and is one of the common clues amongst major winners in the stock market.
Consistent Support: Price levels have consistently held above lower supports, be it rising moving averages or previous horizontal High Volume Close (HVC) areas. This reinforces the notion of institutional presence, as the big players are the ones supporting price on weakness.
Controlled Price Ranges: Despite the wide and loose rise in March, the subsequent price ranges have shown an overall decrease. This phenomenon often reflects institutions exerting control over the stock's movements, controlling and absorbing the amount of supply brought to market.
2. Quiet Names Can Still Be Winners
Hidden gems in the market like INOD stand out as notable examples that a stock need not be the flashiest or most talked-about on Fintwit to deliver substantial
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