Is Leonovus a Buy?

Blockchain Technology is an area of the market currently hot with investors looking for opportunity. One stock I have added to the Watchlist as of yesterday is Leonovus (LTV.V) Inc.

From Google;

"LeoNovus Inc., a cloud solutions software company, provides software defined object storage solutions; and governance, risk management, and compliance solutions for enterprises. Its software-defined storage and intelligent network enables secure and high-speed on-premise, hybrid or public cloud computing. LeoNovus Inc. is based in Ottawa, Canada."

I don't get into fundamentals when looking for short term trades because I don't plan on holding it for very long. Let's look at what's happening to this stock and market reaction.

LTV jumped up 23.3% to close @ 0.185 as of Friday 8 June 2018.
Volume was 1.2 mil, that's significantly higher than the average daily volume of 850K.

The 52 week high/low is .05/0.70
If the stock doubled from here it would still be almost 50% below it's 52 week high. This could be a tremendous opportunity on a purely volume and price breakout.

This is the kind of stock I look for when searching the tape;

• trading below 50% of it's 52 week high
• price rising and volume breaking out
• after a long downtrend stock is rising
• insiders buying (could be why it's up)

I believe all the risk in LTV is to the downside.

It is also in a sector that is trending up as companies look for cloud based solutions. I have no idea what caused the stock to fall in price so dramatically. I'm only interested in a short term punt to make some money. I believe the odds have now turned up in our favour.

If the stock opens higher on Monday I will be a buyer. If it gives up all of Friday's gains I'll wait.

If it matters to you and you love to consult the charts for trading opportunities then LTV just broke through it's 50DMA on Friday also.

My Current Gambling Portfolio

Eldorado Gold (ELD) down 3.9%

Excellon Resources (EXN) up 7%

Tahoe Resources (THO) up 2.2%

Wesdome Gold Mines (WDO) up 6.1%

Total Gains on $17,249.46 = $430.54 or 2.5%

Stocks were only purchased on 31 May and 7 June. You can see if your timing is right spectacular gains over the course of a year are possible. If ELD continues to under-perform the gold sector I will sell and buy something else.

Happy Trading!