You can see the pennant forming. Not sure if it tanks on the rate announcement or earnings, but I think it reverses.
Considering how pumptarded this overbloated pig gets, there is still a chance that this is a continuation pattern and it goes to ATH on crap earnings. It's done it multiple times already, lol. Their profit hasn't increase in years...
Not paying this, good luck...
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Looks to me like it's going to break downwards like it did in April/May pre-earnings. DIS broke downwards out of its pennant.
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Boy did I nail that, should have bought NKE puts again instead of messing around with SCS
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Not playing NKE, but I still have UAA puts, and UAA (as well as XRT) will gap in the same direction as NKE.
The strange thing about NKE is that they can report crap earnings and still go up. look at their earnings for the past year, it's lower than 2017 and only 1% dividend. FUndamentals puts this at a $50 stock max, but it's part of the Dow pumptardedness.
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Up 5% to $92 AH, kinda inclined to think that the gap will close quickly with tariffs coming up in Dec.
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Odd, UAA and XRT didn't pump with NKE, suspect NKE will give up the gap, will look at this tomorrow morning for a potential short play
Oh well my put spread was small. My coup short will pay for it :)
Hopefully this will cause UAA to bounce.
exxodus
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The Options Action guys on CNBC were on this also. They agreed they chart looks weak. I have a small put spread on this but if it gaps up tomorrow I will probably be looking to short it. Post earnings pops have frequently faded quickly on these big caps.
hungry_hippo
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@exxodus, keep an eye on XRT and UAA, they also gap in the same direction as NKE on earnings. XRT and UAA have better options liquidity with less premium.
exxodus
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@hungry_hippo, thanks I am in xrt but I keep missing UA. That first UA call was money. I was looking to short the bounce but it reversed so fast I missed it.
Shorted tsla small last week. Didn't think it would fall this fast. Bad news on NIO today accelerated Tesla fall.
Hopefully this will cause UAA to bounce.