Is Intel Stock a Buy or Sell?

Is Intel Stock a Buy or Sell? Here’s My Strategic Orientation for 2024 🎯

Hi, Itai Levitan here! 👋 If you’re looking at Intel stock (INTC) and wondering whether it’s time to buy the dip or sell the rally, here’s a flexible framework to consider. The market has its own rhythm, so this is an orientation you can adapt as you see fit. Let’s dive in!

Dip Buying: A Strategy to Watch for Potential Opportunities 🛒

When the price dips into areas I consider attractive, it may offer a great opportunity to scale into a position. Here’s one possible approach:

💡 Buy Zones:

• Level 1: 50 shares @ $18.95 (Cost: $948; 14.29% of budget)
• Level 2: 100 shares @ $18.29 (Cost: $1,829; 28.57% of budget)
• Level 3: 200 shares @ $17.57 (Cost: $3,514; 57.14% of budget)

Result? Weighted average entry price of $17.97.

🎯 Plan of Action:

• Stop Loss: $17.43 (-3% below entry).
• Take Profit: $21.21 (+18% above entry).
• Reward-to-Risk Ratio: 6:1 — a solid balance. 💪

✨ Flexibility Built In:

• If only two out of three orders are filled and price starts reversing up with an unrealized profit, you could take partial profits early instead of waiting for the full target.
• You don’t have to stick rigidly to the plan — adaptability is key!

Example Math:

• Full Position: 350 shares.
  • Total Entry Cost: $6,291.
  • If Take Profit Hits: Price reaches $21.21, resulting in a gain of $3.24 per share and a total hypothetical profit of $1,321. 🤑
  • If Stop Loss is Hit: Price drops to $17.43, resulting in a loss of $0.54 per share and a total hypothetical loss of $189.

Short Selling: An Opportunity to Watch for Higher Prices 🕵️‍♂️

If Intel’s price rises into key resistance zones, it might create shorting opportunities. Here’s a framework for scaling into a short position:

💡 Sell Zones:

• Level 1: 50 shares @ $29.08 (Cost: $1,454; 14.29% of budget)
• Level 2: 100 shares @ $30.16 (Cost: $3,016; 28.57% of budget)
• Level 3: 200 shares @ $31.08 (Cost: $6,216; 57.14% of budget)

Result? Weighted average entry price of $30.53.

🎯 Plan of Action:

• Stop Loss: $31.45 (+3% above entry).
• Take Profit: $25.04 (-18% below entry).
• Reward-to-Risk Ratio: Another 6:1.

✨ Flexibility Built In:

• Just as an exampe… Say price reaches the sell zone but fails to hit all three levels, and then starts declining, you could trail your stop loss — for example, moving it to breakeven. Meaning, you can decide to take partial profit along the way and/or move your stops (don’t do that too early cause you can get stoppd out).
• Waiting a few months for price to reach these zones? That’s okay too. Be patient and let the market come to you. Remember, we are looking here at prices that are quite far fom the current price, and we have a reason to believe others wll act in the zones identified, so patience is a must. It goes without saying that no one is promising that price will get to these zones, not to mention reverse there in your favor. There are mno promises here, only opinions of attractive reversal zone potential, with a detailed plan including a solid stop.

Example Math:

• Full Position: 350 shares.
  • Total Entry Cost: $10,686.
  • If Take Profit Hits: Price drops to $25.04, resulting in a gain of $5.50 per share and a total hypothetical profit of $1,923. 🤑
  • If Stop Loss is Hit: Price rises to $31.45, resulting in a loss of $0.92 per share and a total hypothetical loss of $321.

Why This Orientation Works 🧠

Here’s why this plan makes sense:

• Key Levels: Based on historical VWAPs, POCs, and value areas, where big players are likely to step in.
• Scaling in and out: Spreading your orders across levels gives you a smoother entry or exit.
• Adaptability: This isn’t a rigid plan — you can:
  • Adjust the position size.
  • Take profits early if the market behaves differently.
  • Trail your stop to lock in gains as price moves in your favor.

Key Takeaway ✨

This is an orientation, not a rigid roadmap. Markets are dynamic, and so should be your approach. Whether you’re looking to buy the dip or sell the rally:

• Be disciplined with your entries and exits.
• Keep your reward-to-risk ratio in mind.
• Stay flexible and ready to adjust based on how the market unfolds. Always have a stop for your swing trades or even buy and holds.
• This is only an opinion. Do your work research on INTC stock and visit ForexLive.com for additional views.