Looks like there will be a correction soon on this stock. Marking some pieces of the puzzle. That fit this thesis, but this is a short term trade just for correction. Not looking to far out here.
1) DOJI candle coming into the end of the day. Might be a sigh that they bulls are starting to run out of energy to fight back the bears. 2) The volume is starting to decrease going throughout the day as the stock grinds higher, meaning to this trader that buyers are start slow. Which could indicate a short term top of this momentum. 3) The MACD is starting to come together, might be a sign here that the buyers momentum is starting to shift into selling momentum as people take profits. 4) RSI, the RSI is currently in over bought conditions. While this is taken with a grain of salt; it might be signally that we are at the top here as it trys to correct back into the 30-70 bounds.
A lot of this is driven by retail traders, which when it starts to roll over could mean the selling to get out of the way leads to selling that is hot and heavy or a slow grind down. This trader picked up short term puts rather than an actual short position.
Targets: T1: 15.00 -- Psychological Round number T2: 12.00 -- Bound by the bounce off when it dipped today down to 11.50 and a even psychological number. T3: 10.00 -- Round Number
Stop: 25.50 -- time to get out if it gets driven higher.
Best of Luck, --d0x
Trade closed: target reached
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Took profits this morning at the 9.48 level. Quick puts for a quick play.
We're going tits up to 25 tomorrow pre-market; thats the true paradox
Parad0x_
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@espinu15, Maybe, maybe not. its the point of a stop loss if your wrong.
espinu15
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@Parad0x_, first entry at 4.88; sold 22.00 premarket; sold another block at 17.50. Riding the rest for tits up.
Gl to all
Parad0x_
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@espinu15, Best of luck either way you look at the market!
MarkIT_mal
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🚀🚀🚀🚀🚀🚀🚀🚀
clarkehimself
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super dangerous to short these for anything other than a scalp
Parad0x_
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@clarkehimself, It is, however, this looks like the 2017 crypto boom. After BTC went to 20k a lot of other random small coins were pumped. I dont think the weak hands in it for a quick buck will last long just like then. Again, stop loss for a reason.
aparkon
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@Parad0x_, exactly, good to see someone I can agree with...I got a lot of aggressive comments for posting AMC short idea today. Its insane
Parad0x_
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@aparkon, It's people wanting the next GME and looking for confirmation bias. I wouldn't want to be the one that is holding the bag. But a lot of new traders are coming in and not sure how this whole thing works.
Flinsword
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@Parad0x_, The crypto reversal was mere selling since there were not huge sizes of futures shorted.
However AMC is an 73% shorted asset which will certainly force a huge short squeeze, you're dealing with completely different conditions.