During Tuesday's Lightning Round segment of Mad Money, one caller inquired about Aspen Aerogels (ASPN) : "This is a housing stock and even at a 52-week high, this one is not done going higher," commented Jim Cramer.
The firm is an energy technology company providing innovative thermal management solutions to the insulation market. Let's check the charts of ASPN to see if it has a good R-factor.
In this daily Japanese candlestick chart of ASPN, below, we can see that prices have tripled in just six months. Prices are trading above the rising 50-day moving average line as well as the rising 200-day moving average line. Prices are trading at more than twice the 200-day line which intersects around $11. With ASPN trading at $26 we are considered overbought versus the price level.
The On-Balance-Volume (OBV) line is bullish and so is the Moving Average Convergence Divergence (MACD) oscillator.
In this weekly Japanese candlestick chart of ASPN, below, we can see that prices have risen significantly this past year and also from the late 2019 low. APSN is above the rising 40-week moving average line.
The rising weekly OBV line is constructive and the MACD oscillator is also very positive.
In this Point and Figure chart of ASPN, below, we can see that the price reached and passed their price target of $21.
Bottom line strategy: ASPN looks bullish but traders will still want to buy a pullback. Try to buy a pullback to $22 and risk to $17.99.
