Ford Motor Co OPTION CALL $15 Sep
What a recovery! While it's parabolic nature, I do believe it has enough upward momentum to reach my listed target.
VOLUME PROFILE (VPVR)
1. The pink Point of Control line (POC) at around $9 is where we find the highest trading volume. Make's sense! This is where we see our COVID sell off and initial resistance before the mega candle teleported us to $11.60's.
2. Volume Area (VA) is centered to the Y-Axis and our chart (Magenta/Blue area). Mmm...this suggests consolidation; however, our target price and Fibonacci range falls within this region. Which brings me to the next section:
FIBONACCI RETRACEMENT
The fib lines are where I start to gain trading confidence.
1. The first fib line @ .382 brings us to the POC line and first major resistance in Ford's recovery phase. Important to note that if price falls back here-which I find unlikely in the short term-we will probably head down to goblin town
2. The .5 region, which really isn't a fib ratio was torn through by a mega candle and ultimately settled as a local support region. If price were to pull back, $11.00 is the region I'd buy (well, if it closed above $11 on the daily)
3. The .618 region is where things get sporty. Pushing through the mid $12 range and holding support above the .618 should give us a free ride to the .786 and ultimately our $15 strike
THE RESISTANCE
I expect some push back at the two pink, dotted, horizontal lines. There will be selling pressure at these points as seen with recent attempts to push through $12.00. Failure to do so will bring us down support levels of $11.00 (Fib .5).
Spot bids @ current price ($11.60) and $11 would be good entry points IMO.
Let me know what you think
What a recovery! While it's parabolic nature, I do believe it has enough upward momentum to reach my listed target.
VOLUME PROFILE (VPVR)
1. The pink Point of Control line (POC) at around $9 is where we find the highest trading volume. Make's sense! This is where we see our COVID sell off and initial resistance before the mega candle teleported us to $11.60's.
2. Volume Area (VA) is centered to the Y-Axis and our chart (Magenta/Blue area). Mmm...this suggests consolidation; however, our target price and Fibonacci range falls within this region. Which brings me to the next section:
FIBONACCI RETRACEMENT
The fib lines are where I start to gain trading confidence.
1. The first fib line @ .382 brings us to the POC line and first major resistance in Ford's recovery phase. Important to note that if price falls back here-which I find unlikely in the short term-we will probably head down to goblin town
2. The .5 region, which really isn't a fib ratio was torn through by a mega candle and ultimately settled as a local support region. If price were to pull back, $11.00 is the region I'd buy (well, if it closed above $11 on the daily)
3. The .618 region is where things get sporty. Pushing through the mid $12 range and holding support above the .618 should give us a free ride to the .786 and ultimately our $15 strike
THE RESISTANCE
I expect some push back at the two pink, dotted, horizontal lines. There will be selling pressure at these points as seen with recent attempts to push through $12.00. Failure to do so will bring us down support levels of $11.00 (Fib .5).
Spot bids @ current price ($11.60) and $11 would be good entry points IMO.
Let me know what you think
Comment:
Forgot to add--I published this idea after two members messaged me about the last $F chart. Wanted to clear some things up and fix the strike expiry to one that actually exists