Analyzing the options chain and the chart patterns of CAT Caterpillar prior to the earnings report this week, I would consider purchasing the 260usd strike price Puts with an expiration date of 2023-8-4, for a premium of approximately $5.40. If these options prove to be profitable prior to the earnings release, I would sell at least half of them. Looking forward...
As you can see in the chart, this is a very simple setup: When we look at the big picture, we have a dead cat bounce breakout retest pattern. As confirmation, we have a clear RSI bearish divergence and a descending triangle, which can be a good entry point. As targets we have the clear support levels and we set an stop loss at the last swing high, so in case...
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Deere Company had favorable earnings in May reporting quarterly earnings of about 3.5 % on their share's market price. DE is a blue-chip industrial sector stock comparable to CAT. It not a fast mover but very suitable for options trading or investment. On the 4H chart DE had been trending down through earnings in a descending parallel channel and relying on...
CAT as a blue-chip industrial is not a fast mover- it is best suited for options traders or investors. On the 4 H chart, CAT rose from the lows on a trend up from last November through this February. It then descended in a retracement about a 50% Fibonacci extent to its present value. It is now at the POC line of the volume profile for support and is near to...
I just posted a CAT long idea. (check my profile for context on that) I mentioned a breakdown but didn't draw it out so decided to make another post (this one). I'm looking out for both options. CAT has strong fundamentals and i can't imagine it getting absolutely wrecked, even in worsening economic conditions.
Wedge formed, looking for some retest of previous levels. Especially if overall market strength continues to go as it has currently been going. If it breaks down, I don't see CAT going much lower.
A large descending wedge or megaphone has been broken out of. I expect sideways but partial bullish results as shown by the bars pattern in green. Strongest trend line is the thick green line, price may retest this line. Channel is speculation.
When less than stellar stocks attempt to run after a 90 percent drop its note worthy to watch, understand the basic mechanics of the pump and dump and FOMO by bed ridden traders that believe they can make millions while laying in bed... This is half a joke and half true, never chase trade but if you must understand technical, short term resistance above $7 upper...
Caterpillar is at site, working on wave (2) in magenta, which should lead further downwards into the magenta-colored zone between $198.40 and $171.37. From there, the share should turn upwards again, climbing above the resistance at $266.04. However, there is a 34% chance that Caterpillar could slip through the magenta-colored zone and drop below the support at...
Merely an update to my previous idea. And well... I started this idea before the bell, and it was $3.51 at the time. It's now $2.01 post as of typing this but that will be different already. I think I will just post this as is, because it's moving too quickly to make any rational conclusions. To be noted, every time $15 was broken, the market dumped it below...
CAT has bounced nicely off support of $215 ish 6 times and the moving averages are crossing upward. I would expect some buying support in coming days with new moon phase. CAT resistance $234 which it hit this morning, cloud resistance around $245 and overhead resistance of $247, if it breaks above all these we have a 52 week high to break through of $266
imho CAT is the best benchmark stock to track cycle throughs ahead. In line with my view of a nearest major bottom sometime in Oct-Nov 2023. Upside should be expected until 2026-2027. Next major bottom is in 2030-2031.
SPY - Going into todays session, I mentioned that I had a bullish bias that I was only 75% confident in due to the downside gap that remains unfilled on the daily, and because we were sitting on a daily upper trendline. SPY gapped up for the second day in a row and closed green, confirming our overall analysis, but created a failed 2U, which leads me to believe...
CAT is now bottoming for a SALE just in time for seasonal construction and agricultural upticks. The long view is a long uptrend that started in September and ended with a lousy earnings report in early February. The beatdown is now ending perhaps for fundamental reasons including CAT has cash and down not need high-interest rate costs. See the chart for...
CAT has a downtrend 10% from its 30-day high. However, fundamentally the industrial is holding up quite well. The downtrend was inverse parabolic accompanied with an appropriate volume pattern showing 3X relative volume This is sometimes called the retirement trade pattern or V-type pattern. CAT has dropped to three standard deviations below the...
Caterpillar is on the verge of triggering a bearish topping formation. This stock has been a powerhouse during the rising rate environment. if this market leader breaks down its signaling weakness in the economy and likely the industrial sector.
CAT developed one of the entry signals I teach this week. The stock rebounded from testing the lows of the trading range. Hybrid indicators suggest large-lot buying is triggering in the lows of the range. Point gain potential may be limited by the sideways trading range developing, but swing trading can be done within the range if you can catch the entry early in...