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Valued at around $773 million, Solid Power Inc. (SLDP) is a developer of all-solid-state rechargeable battery cells for electric vehicles and mobile power markets.

I sorted for stocks with the highest technical buy signals, superior momentum in both strength and direction, and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. Solid Power checks those boxes, writes Jim Van Meerten, analyst at Barchart.

Since the Trend Seeker signaled a buy on May 7, the stock has gained approximately 236.6%. In fact, Solid Power shares hit a new 52-week high on July 21, touching $4.30 in intraday trading.

Solid Power Price vs. Daily Moving Averages

What else do I like here? Solid Power has a 100% technical “Buy” signal. It has a Weighted Alpha of +80.05. It’s been trading above its 20-, 50- and 100-day moving averages. Relative Strength Index is at 83.03% and technical support is at $3.60.

Meanwhile, revenue is projected to grow 4.2% this year and another 15.2% next year. Earnings are estimated to increase 9.2% this year, but decrease 2% next year.

The bottom line: Solid Power has momentum and has been hitting new highs. Wall Street analysts think it has room to appreciate, but some major advisory services think it has peaked. I caution that Solid Power is volatile and speculative — so use strict risk management and stop-loss strategies.

About the Author

Jim Van Meerten earned a BS in Accounting and Business Administration from Berry College; a Juris Doctorate from the Woodrow Wilson School of Law; and attended post-baccalaureate and graduate courses in Business Administration, Quantitative Math, and Education at Florida Atlantic University, Georgia State University and University of North Carolina at Charlotte.

Previously he has been an accountant, attorney, adjunct professor in Business Law, Accounting and Internal Auditing, financial advisor, supervisory principal, and compliance officer. He also passed the Georgia CPA Exam, the Certified Internal Auditor Exam, and the FINRA Series 7, 24 and 9/10 exams.

He is presently an analyst at Barchart and writes "Chart of the Day," an article sent out daily that utilizes the tools available on Barchart.com, including screeners, Barchart technical indicators, and trading signals, to find stocks with compelling setups.

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