Stock has sold off since Jan, and held the downtrend throughout 2018. Bearish momentum is slowing down, as if recovery is in the works (compare LVS idea); betting this bad boy experiences a slowdown, with price staying in the range or having a quick reversal of the downtrend.
21/22/33/34 FEB19 IRON CONDOR @ 0.25 CREDIT
Roll if necessary & if ...
Potential cup and handle rally for MGM. See if the stock finds support at a low of $29.38 and is coupled with a volume spike on the upswing. Watch for a breakout past the purple line, let's see where this thing goes.
Hunting the dips in decent companies after hysteric sell-offs. That's what I'm doing in US stock markets. The other strategy that gave profits was buying into undervalued sectors with great perspective, which I don't do now, as the last sector I believed in was the IT-related (FB, AMZN, GOOG, BABA) and it was all fun and games until this year where it just doesn't ...
This is not the first idea that I share in the Consumer Services Industry,
what happens is that I do not listed them, as I did with the financial Industry (#1, #2, #3, etc)
I post series of ideas that correspond to a particular industry for example:
I have shared a lot of technology companies (too many technology companies)
I have shared several Basic Materials ...
MGM has completed a deep bearish crab and has also completed an internal bearish AB=CD pattern. With both patterns completing in the same zone, this is a good indication of momentum shifting to the downside.
Monthly view of MGM
Well I think in the long term view MGM can go to 57.80 and later on close to 92.33.
For 57.80 I am more confident because it's the high of the channel where the prices are.
For 92.33, maybe I'am crazy... but it's not impossible. What I can say is, lets go to 57.80 first, then we will se how prices react on this level.
Casino industry has shown good relative strength in recent weeks with WYNN & LVS recently making all-time highs.
MGM had to absorb the fallout from the Las Vegas massacre on 10/1/17 but now also has broken out to a new all-time high, confirming the rest of the group.
WYNN has the strongest RS, MGM the least.