Amazon Harmonic - Daily & Hourly Bearish Bat
There isn't much more to say other than that if the 0.886 retracement holds on both the hourly and daily timeframes into Tuesday's morning session, this Bearish Bat harmonic could end up confirming an enormous reversal that has been nearly a year in the making.
I remember reading that some dude had a 2M put position going into Amazon's 2020 Q2 earnings report... despite the fact that this was the first blow-out earnings beat (10 times street expectations top and bottom!) the put position wouldn't have bankrupted him in a day. I know this because I speculated with reasonable calls into that ER, thought I had won the lottery, only to watch this thing selloff like hotcakes on the open.
Point is that Amazon runs like hell both randomly and seldomly. Thus, the odds of it making all-time highs is actually much slimmer than one would believe - especially if they were to also look at the volatility that is implied by last week's options. Sometimes black-box financial engineering methods employed by machines lack the human intuition to know when a financial asset is ready to turn. The implied volatility assumed into Amazon's near-term contracrs is one such example that can be exploited for an easy volatility flip on the first break of harmonic support.
That, or you could try for the almighty dime-bagger that this harmonic structure implies in the mid-term, the likes of which would produce some of the most expensive same-week options that have ever been printed.
-AmazonianSwine
AMZN
ARKK
AAPL
US100
IXIC
NDQ
SPX
US500
I remember reading that some dude had a 2M put position going into Amazon's 2020 Q2 earnings report... despite the fact that this was the first blow-out earnings beat (10 times street expectations top and bottom!) the put position wouldn't have bankrupted him in a day. I know this because I speculated with reasonable calls into that ER, thought I had won the lottery, only to watch this thing selloff like hotcakes on the open.
Point is that Amazon runs like hell both randomly and seldomly. Thus, the odds of it making all-time highs is actually much slimmer than one would believe - especially if they were to also look at the volatility that is implied by last week's options. Sometimes black-box financial engineering methods employed by machines lack the human intuition to know when a financial asset is ready to turn. The implied volatility assumed into Amazon's near-term contracrs is one such example that can be exploited for an easy volatility flip on the first break of harmonic support.
That, or you could try for the almighty dime-bagger that this harmonic structure implies in the mid-term, the likes of which would produce some of the most expensive same-week options that have ever been printed.
-AmazonianSwine
AMZN
ARKK
AAPL
US100
IXIC
NDQ
SPX
US500
Trade active:
Once the meme bulls realize the seriousness of todays selloff and RUT finally falls thru, then we can see the above scenario start to really play out.
Would be fantastic to not have to roll over tomorrow's expiration.
Would be fantastic to not have to roll over tomorrow's expiration.
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