Good Afternoon!
LegacyXChange Inc. (LEGX) just hit my screen today and if it moves like I hope, the team is in for a little excitement tomorrow morning.
LEGX sells DNA validation kits. It's the ultimate way to make sure you are who you say you are -- you can’t fake your DNA. (VIDEO)
But of course it’s all about how you commercialize a hot technology. LEGX decided to start with celebrity autograph validation.
GENIUS move that theoretically opens up a $5 BILLION market! One store here, another one there, a trade show over there!
It adds up, especially for a start-up as young and volatile as LEGX. Am I really reading that market capitalization as barely $1 million at this point?
And that’s all just Phase One. I haven’t even plumbed the legal markets, the document control markets, all those deep-pocket applications.
This is just LEGX proving that the $3 million baseball you just bought is really signed by the home run slugger. Early stages!
Now let’s go to the chart and see just how close to the ground floor we really are here:
LEGX is little and the float is on the narrow side. That makes the action FAST. Don’t chase the price! Let it come to YOU.
But as you can see, volatility like this can reach 3 digits on the drop of a penny. I count at least FOUR double to triple runs lately.
Obviously a breakout surge like that is sweeter (and statistically more feasible) after a big dip to set the scene, so our timing is on target.
I’ve got to say the MACD is intriguing here. We seem to be right on the edge of confirming the last few weeks of upward motion.
After all, any move above zero reflects bull momentum, right? If so, LEGX may be set up for a repeat of the first or third big moves I circled up there.
And as for where the trend starts and ends, there’s no need to get especially greedy or concoct hypothetical “to the moon” types of stories.
The 200-day line is up a deceptively long way at $0.03. Should LEGX find the strength tomorrow to revert to that statistical mean, it’s in the green.
I admit it would be nice to see a catalyst that gives LEGX more direction than a random walk. That last surge was on the back of NEWS, after all!
Do we get a headline tomorrow morning? Keep your eyes open, but either way, I want you to hit the ground the MINUTE trading starts!
See you early tomorrow with a reminder. Go team!
Sincerely,
Michael Reef
yourstockguy@gmail.com
