AMC popped over 50% on the last trading day. So questions arise could include
whether there is an juice left in the move? Are there short sellers now buying
to cover to cut their losses? On the 15 minute chart, the parabolic move is
obvious. The volume profile shows the highest volume of trading at 7.42.
A typical end of the trading day and week fade is seen with volume falling as
well. Price is now getting support at the first VWAP band above the mean
line somewhat confluent with the POC. A reasonable target is the high of
Friday's trading session at 8.75 but bullish momentum could push price above
that resistance. The is a major VWAP band breakout. a parabolic move that
potentially could continue.
Accordingly,
I will take a risky trade with a limit order at 7.45 where AMC will be
above its POC line as an sign of a potential resurgence of bullish momentum.
I will watch for a volume spike showing that new buyers like myself and
short sellers liquidating are combining in selling pressure. I anticipate
great price action and a quick profit. The trick is knows when to sell to
realize profits I will sell one-tenth of the position for every 3% in profit
unrealized and could find an overall profit of 15-25% which would be a
great way to start the trading week. Some might call this chasing and I
understand that. I see it has high risk with higher potential reward especially
if a short squeeze kicks into the higher gears.
whether there is an juice left in the move? Are there short sellers now buying
to cover to cut their losses? On the 15 minute chart, the parabolic move is
obvious. The volume profile shows the highest volume of trading at 7.42.
A typical end of the trading day and week fade is seen with volume falling as
well. Price is now getting support at the first VWAP band above the mean
line somewhat confluent with the POC. A reasonable target is the high of
Friday's trading session at 8.75 but bullish momentum could push price above
that resistance. The is a major VWAP band breakout. a parabolic move that
potentially could continue.
Accordingly,
I will take a risky trade with a limit order at 7.45 where AMC will be
above its POC line as an sign of a potential resurgence of bullish momentum.
I will watch for a volume spike showing that new buyers like myself and
short sellers liquidating are combining in selling pressure. I anticipate
great price action and a quick profit. The trick is knows when to sell to
realize profits I will sell one-tenth of the position for every 3% in profit
unrealized and could find an overall profit of 15-25% which would be a
great way to start the trading week. Some might call this chasing and I
understand that. I see it has high risk with higher potential reward especially
if a short squeeze kicks into the higher gears.
Comment:
EDIT - actually new buyers and short sellers liquidating would be combining in BUYING PRESSSRE ( not selling) .
Trade active:
A projected call option is strike $8 ; this option rose 65% on Friday
BEFORE the pump in the after-hours. I am expecting a premium of $10-12
by the time the options chain catches up with the price movement in
after-hours.
BEFORE the pump in the after-hours. I am expecting a premium of $10-12
by the time the options chain catches up with the price movement in
after-hours.
Trade active:
I suppose I did not say the expiration is the shortest possible DTE at 7/28