$NTES NetEase Inc - Bullish options flow today with a breakout to a fresh 52 week high, closing above $500 for the first time ever.
Just under 1k $340.00 strike (very deep-in-the-money) Sept 18th calls traded today for a total premium outlay of about $16M or ~$17,500 per contract. It is highly likely that this was a large hedge fund that made this trade.
I see a cup and handle pattern on the weekly chart.
RSI, MACD, and StochRSI show some bullish momentum.
If we break the resistance at $360-$370, we might see a potential run towards $530.
This is not financial advice!
Do your own research!
$NTES Sold off Friday on strong volume, closing well outside the recent bearish rising wedge pattern. Earnings are still to come this week, but if this recent price action is any indicator expect to see further near term declines. Targeting $185 support by mid to late March.
Note: Informational analysis, not investment advice.
Directional Bias: Long
Price Target: 175
Good Entry: 138-144
Risk/Reward: $5 max risk - $20 reward
If we see an opportunity at 138-144 area,we should take it with a risk of $5 a share. A nice short squeeze can get price back to 175 in quick order.
On Friday the 3rd August 2018 Chinese stocks ceded their ranking as the second-largest equity market in the world amid an elevation in trade tensions after the Trump administration said it was considering increasing the initial proposed tariff.
Buying the dip: Considering Chinese markets are at almost a one year low and under a temporary trade war, a knee jerk...
SImilar to my OLED post, NTES found critical support early this session during market weakness. It's sitting right on key support as a convincing break here on a daily or weekly closing basis will send it to $300 or less.
Also, NTES saw significant Feb 9 Weekly Call buying yesterday with 1,000 lots going at each of the 320, 325, 330, and 340 levels.
I tend to...
NTES NTES might pull back into october against strong ichimoku daily resistance. Or it can consolidate in the cloud for a while. Earnings on 11/08 is still too far from now.
If breakout of symmetric triangle on high volume through the cloud, then it would add lot of momentum
NTES price action broke to the upside in the middle of 2016 and formed a very strong uptrend. In late 2016, prices retraced strongly to a 50% retracement. Prices are now attempting a move to previous highs, but the RSI is not confirming. I'm waiting for price action to reach the $270 level and determining if the RSI divergence continues to be strong.