The Long Investor

$HIMS

Added 2024-06-21 09:38:37 +0000 UTC

OK $25 was always going to be an important level for us, it was the 2 Fib and the previous high from 2021.

We saw over the last week that there was some profit taking at $25.60, with some large drops, followed by dip buying, then finally yesterday the selling pressure became too strong and it dropped hard, we sold -20% of our position at -4% and the price finished down -9.5% for the day and more weakness is now shown in the PM.

This is firm signs of a rejection here, it wasn't sudden and we did get early signs of profit taking and it happened at our Wave 5 target, so we were ready.

One of the big benefits of this group is that we don't just benefit from one wave and move onto the next stock, we continue to rinse and repeat a stock as long as it continues to move as we expect.....which is why we made large gains on $DAL, $ABNB, $ETH, $AMD, $AMZN etc over the last 12 months, $HIMS will be no different, as long as their fundamentals stay strong.

So we will watch how this pull back behaves and get back in for the next impulse wave.

I am provisionally watching the 50 Day MA at the 0.38 Fib at $16 now.

RSI also clearly showing a decline from a very overbought level, reinforcing our belief.

A pull back to $16 and I'll consider scaling back in.

$HIMS is a core stock for me now.