If you are an investor, you should consider buying GameStop stock. This company’s stock has recently exploded due to the popularity of the WallStreetBets subreddit. You can purchase the GME stock through online brokers. The company is listed on the NYSE. There are various trading platforms available, some of which charge a fee for every trade. Here are some ways you can buy the GME stock without having to pay any fees.
While the stock remains a gambler’s dream, the company has a shaky fundamental profile. In its IBD Composite Rating, it lags 64% of its peers. Despite these factors, GME stock is still a top choice for investors. The short seller should only invest in stocks with a Composite Rating above 95 or higher. The following chart shows why investors should avoid GME stock. If you’re a beginner, you should first understand the CAN SLIM investment paradigm.
The first step to buying GME stock is determining its risk tolerance. If you’re a long-term investor, you should consider a position size of at least one million shares. This will give you more confidence in the stock. Moreover, a large position size will reduce your losses, so you should only invest a small portion of your total portfolio. Once you have an idea of how much you can afford to risk, you should try swing trading with this stock.
Traders who use CAN SLIM will often look for stocks that have been consolidating for several weeks. These are more likely to be sustainable winners. While GME stock is a gambler’s dream, it’s a good time to enter the market if the company’s 10-week support line is broken. As a speculative trader, you can get a good entry and exit point based on the correct risk-reward ratio.
Traders who use the CAN SLIM paradigm will also consider GME stock’s volatile performance. Some brokerages have limited GME stock transactions earlier this year. Essentially, this means you could only sell the amount you already owned and not purchase more. Another issue with GME stock is that it may be subject to extreme volatility. This means that your limit order may not execute if the price goes up too quickly. A CAN SLIM order with this company should be considered as a contrarian trade if you are considering the GME share’s potential.
While GME stock has seen its share price rise in the past few months, it has remained relatively stable in the past few weeks. This could be a sign that the CAN SLIM model is working. For example, the CAN SLIM methodology considers the fundamentals of a company. For investors, a strong stock with a good EPS ratio will have better prospects for growth. Unlike MOASS, the CAN SLIM approach is more conservative and preferable to short-term investments.