TRADE ALERT: Tesla, Genus and Avast trading instructions

Action to take: place at stop on Tesla at $800
Recommended at: $346.41

Action to take: sell Genus
Recommended at: 2,682p
Sold at: 3,112p
Profit: 16.03%

Tesla

I want to thank subscribers for their fortitude in sticking with Tesla despite the negative commentary, not least from a number of my colleagues over the last year. The reason I recommended the share is because I believe the transportation sector is among the most likely to be the subject of disruptive change over the coming decade and we are only at the beginning of that trend.

The reason I am writing to you now is because Tesla has risen in a stratospheric manner over the last couple of weeks. The share gave up $92 of its gain in the last hour of trading on Tuesday and now is the time to introduce a stop. It might yet continue higher so I am recommending a stop instead of selling.

That ensures a gain of more than 100%. In the event we see a significant retracement of the recent gain, I will use that as an opportunity to re-enter the position but I do not wish to forego the opportunity to take a profit of that size.

Genus

I recommending you sell Genus. We bought the share on the argument that it has a solution to the African swine fever in pigs and that it would see growth as a result. News this week that a team from the US Department of Agriculture has successfully developed a vaccine for the disease negates the investment argument for Genus and therefore we should sell.

Avast

Avast announced last week that it is shutting down Jumpshot, the company’s data analytics arm, because it has been found to be selling client browser history to advertisers like Pepsi, Google and Microsoft. The company has apologised and the share bounced over the last couple of days from the region of the trend mean. As long as it is holding the region of the trend mean I am willing to give the share the benefit of the doubt.

All the best,

Eoin Treacy
Investment Director, Frontier Tech Investor

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