What do you do when a stock is up 38% in a day? Well, you consider buying it. Here’s your trade on NBEV. (April 08, 2019)

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NBEV 

Let’s look at New Age ( NASDAQ: NBEV ). Typically I am not going to look at a stock that is up 38 percent in a day and say, “You know what? I think this is a buy.” It would be different if the stock was up this much because Elon Musk made some kind of tweet, that would be a different deal. But here, this is really a big deal; 66 million shares traded today on a stock that typically on a good day it is like 4 million shares. And why is this? Because they announced that they are expanding a deal with Walmart ( NYSE: WMT ).

Now, Walmart ( NYSE: WMT ) is kind of a big deal. I don’t know if you know that but they are kind of deal, more than K-Mart ( OTCMKTS: SHLDQ ). With Walmart ( NYSE: WMT ) here’s the thing, I don’t think this is just a one-day wonder. I wouldn’t just rush out and buy this at the open. In fact, you can even see after hours the stock is down a little bit, not a lot, but it is down a little bit from where it closed’

Here’s your trade tomorrow: This is really easy; this is going to be the shortest video I have done in quite a while. If the stock is up above 6.69, that’s today’s intraday high, buy this sucker. Just buy it at 6.70; if it is up at 6.70 buy this thing and then talk to me when you have made like 50 percent. Talk to me when it goes up to $10.00 and then that is where we would look to sell this thing.

Again, Walmart ( NYSE: WMT ) is kind of a big deal; I know it jumped up bigly here in the morning. It never really came back but I just think it’s got further to go. I think it is probably under-owned and I would want a piece of this.

But again, wait for the stock to move up to a new high. Because that’s the way you KNOW that there is enough buying interest for you to safely buy the stock. And then just give it, maybe, 3 percentage points, that’s it. I would put a stop like 3 percent on it. You don’t have to give a stock like this a lot of room; because your whole thesis behind buying it is, if the stock is up above 6.70 buyers are in, I want to be there, I am going to take this stock. So if it falls back below, well then buyers are not in and I don’t want to be in either.

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