Back in May, I wrote a piece here recommending buying fuel cell stocks, specifically FCEL and BLDP. My logic then was that, while the market hunger for risk made no sense to me given the trajectory of the coronavirus news and the state of the economy, traders should always deal with what is, not what they think they should be. On that basis, I said, it wouldn’t be long before the old favorite speculative stocks, the fuel cells, took off.

Here’s what has happened since…

As you can see, BLDP has been a consistent climber, while FCEL’s momentum was interrupted by an earnings miss. The fact that the upward move resumed after that, though, proves my point then and now. Reality has no bearing on these stocks. Still, both trades are showing a good profit, with long FCEL up 57% as I write and BLDP doing even better with a 99% profit in just over a month.

Regular readers of my work will probably be aware that my normal reaction at this point would be just to take a profit. Greed is one of your principal enemies when trading and it usually pays to simply cut and run, even if that means leaving a bit of meat on the bone for the next dog or missing out on an opportunity of a reversal.

In this case, though, I will make an exception, and here’s why…

As I said above, fuel cell stocks are frequent beneficiaries of “risk-on” environments. They are cheap, in every sense of the word and they have a…

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Via Oilprice.com