$SOFI | Allocation | Market Exec |

8月18日

Technical Confluences:
- Price action has bounced off a 78% Fibo retracement
- Below the 78% Fibo retracement is also been a Demand Zone which breaking it would like lead to a new all time low
- For price action to move up higher, it needs to break above the Interest Zone (@ 61% Fibo) and also the resistance trendline
- Upon breaking that, it's next resistance would be the Supply Zone area above

Fundamental Confluences:
- SoFi has shown impressive revenue growth but struggled with profitability, posting net losses due to high operating expenses and investments in growth.
- The path to profitability is improving as the company scales and focuses on higher-margin products, but consistent positive earnings have yet to be realized.
- They have historically reported negative FCF but recent quarters have shown improvements. The company’s ability to generate positive FCF will be critical to sustaining its growth without needing to rely on external financing.

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I have previously allocated to SOFI before as I feel this company is a high-growth potential with promising narrative as explained above.

Will be happy to add if there is again a dip in the price.

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