As we’ve talked about, IPOs are a great place to go to find big winners.
And IPOs have gotten somewhat hot right now.
LegalZoom (LZ) started off strongly when it was initially offered. It was up in the $40 range and seemed to be holding on.
But, like so many IPOs, it then fell off a cliff.
It’s when people forget about a stock, though, that a big move can materialize.
Back in July 2023, LZ tried to make a move. But it fell back when the market sold off.
Now it’s showing upward momentum again and is currently in a very tight range, gathering up energy for a possible breakout.
Here’s the chart:
If LZ breaks above $13.75, we could see a move into the $20s.
We’ll keep an eye on it.
Happy trading,
— Scott Welsh
P.S. As a reminder, these plays are based on my longer-term Weinstein Stage Analysis method. The chart above uses weekly candles and a 30 week simple moving average. For details on this method, see my explanation on this Ask The Pros episode starting at timestamp 20:45.
