Hut 8 stock pulled back to a historically bullish signal
Hut 8 Corp (NASDAQ:HUT) will report fiscal first-quarter earnings before the open tomorrow, Aug 13. The crypto-adjacent data mining stock experienced a sharp slide amid the global market selloff, especially as Bitcoin (BTC) slipped below $50,000 for the first time since February. This pullback has HUT flashing a historically bullish signal, though earnings could provide some volatility.
According to Schaeffer's Senior Quantitative Analyst Rocky White, the stock is within one standard deviation of its 80-day moving average. This occurred four other times in the past three years, after which the equity was higher one month later 75% of the time, averaging a 5.6% gain.
The stock settled higher after its last two earnings reports, rising 13.4% in May and 12% in March. Over the past two years, HUT closed four of its eight post-earnings sessions higher, averaging a 9.3% move, regardless of direction. This time around, the options pits are pricing in a 15.1% next-day move.
At last look today, HUT was down 3.8% to trade at $11.52. While the stock is fresh off a third consecutive weekly loss and shed more than 12% so far in 2024, it notched a July 16, 52-week high of $21.09.
