Trading idea: Long Saga Pure

2021년 1월 22일

Green investment company Saga Pure has retraced from the peak earlier in the month after strong performance in December, due to general profit taking and a subsequent offering subscription period.

Idea/ Triggers:
* The subscription period ends January 27th.
* Saga Pure has reacted well to DeMark exhaustion signals previously.
* European buyers (Clearstream Banking Nominee acct) adding to on a daily basis in their pursuit for green investments. With regards to this being a trigger for potential continued price appreciation, look to the price appreciation in Norwegian hydrogen company NEL where the Clearstream Banking Nominee account is now the largest holder.
* Portfolio company, Horisont Energi, will be listing on Euronext Growth soon and might be a potential trigger. The share prize has doubled in the grey market after a successful offering in December.

Risk factor: Overall market is stretched on valuation and positioning, and a general risk off event is likely to impact small-caps.

NB! The company has more than NOK 500 mnok in cash looking for investments, and would use a price depreciation to buy stakes at discounted prices.

Solum Tempus Narrabo