PCAR Breakout

It broke out on earnings but it's also almost overbought. I think it goes overbought this week and dips on the Fed meeting next week.

If you're not in already, I'd wait to play that dip.

Comment:

Funny thing is, the charts always look a little different when you look at dividend adjusted vs non-adjusted charts.

That weird rejection and pop was a breakout on the non-adjusted chart. i plotted the dividend adjusted chart. Appears traders are split on which chart to use, lol.

Comment:

Remember that idiotic company that idiotic company that downgraded PCAR 2 weeks ago? I bet they shorted PCAR because it looks like a short squeeze on higher than average volume now.

Wolfe Research is retarded, lol.

BTW, this is bigger than normal earnings movement for PCAR, I don't recommend chasing it. Gonna prob cash out tomorrow if it hits $110. Holding only because I think it's hiaraious and I have some cushion.

Comment:

There's 5M shares shorted as of Dec 30, I'm guessing more than that because 2 companies downgraded PCAR earlier this month. I think the short squeeze goes into tomorrow morning if the market gaps up.

I don't recommend holding when the Fed meeting comes up next week though.

Trade active:

Closed out half my position to lock in profits, prob cash out the rest if it gaps up tomorrow.

Turned out to be a nice day trade, even though I thought it was a FOMO trade, lol.

Comment:

Hung up at my $110 target, only holding half because I think the market gaps up and I don't want to open any new positions, lol.

I think there are better gap plays for tomorrow though.

Comment:

Wolfe research taking it doggy style, this is the biggest single day move ever for this stock.

Like I said, short squeeze, volume says it all. This is not normal movement for PCAR.

Trade closed manually:

I'm out on the gap fill.

Already past my $110 target and made over $3k, good enough

Comment:

One of the things I look at for short squeezes is trading volume. 5M shares shorted and the volume yesterday was 5M above average, means most shorts covered yesterday.

I think PCAR goes sideways for a few days, so at this point I'm not inclined to go long until after the Fed meeting

Comment:

Market looks bullish for tomorrow, but I don;t think PCAR is gonna move much, it went up $13 in 3 days, not going back into it until I see a dip, which will probably happen next week.

Comment:

Appears the short squeeze is over now, unfortunately this isn't a widely tracked stock so it can go down fast when people lose interest