MIK broke trend: developing Momentum

26 בנוב׳ 2020

Took a Long position in MIK on 24.11.20 at $9.75. Key catalyst was fact that it had broken trend ($8.86 is trend floor per hedgeye). Also on the HE Long List so had been looking for a decent entry to take a position having traded in and out over previous months. High Short interest is slightly concerning (currently at ~22%) however could drive a squeeze if this moves up rapidly. Some narratives support the stock (CV related) however haven't taken a position on that basis. Trend, Fundamentals and Entry Point were catalysts. Reporting Dec 3rd. Strong run-up in days prior also a positive indicator, as per price action in previous reporting period.