Analyzing the options chain and the chart patterns of CAT Caterpillar prior to the earnings report this week,
I would consider purchasing the 237.5usd strike price Puts with
an expiration date of 2023-11-3,
for a premium of approximately $6.20.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking...
Caterpillar Inc. (CAT) - Revised Trade Strategy
Trade Setup: Anchored VWAP (AVWAP) Reversal Play
Rationale:
Post-earnings, Day 1 concluded with a bearish spinning top despite substantial volume, indicating indecision yet CAT’s price retained above the critical support level of $225. My initial bias was towards shorting on a potential breakdown below this...
Caterpillar Inc (NYSE:CAT) reports Q3 2023 sales and revenues of $16.8 billion, a 12% increase compared to Q3 2022.
Profit per share for Q3 2023 stands at $5.45, a significant increase from $3.87 in Q3 2022.
The company returned $1.0 billion to shareholders through dividends and share repurchases in Q3 2023.
Operating profit margin for Q3 2023 was 20.5%,...
CAT does great when the global economy is booming. Not so much when it's not. As such breaking this key area of this structure suggests we are near a recession.
As I posted before with FEDEX
and many more that are not published here, there are many suggestions we are heading for a recession by market participants.
CAUTION!
Market has punished unfairly this stock after earnings. It way overreacted. This is good company and earnings weren't bad at all. It will go up very soon. I bought some calls (you can just buy the stock and hold it forever is that good). Expr Nov 10 strike 230. Careful with the 238 resistance, you may want to close almost all your calls on that level.
Yesterday we had opened with a gap up. This window has been closed today what opens the way up again. Mind that we are holding above the MA that serves as a support here.
I have absolutely nailed this stock in the past (with my dowsing)... Like the lows at $162 wayyy back when. I lost track of it though & was of course disappointed once I saw the rally. I didn't know what I had!
Now though, I have today's date as a time to check up on CAT & isn't it interesting it's right near it's highs?! (I start salivating a bit) Dates in my...
Top line is resistance and the bottom line is support.
Price is on support. Once this support is broken, it becomes resistance.
Top line slopes down and bottom line is virtually flat forming a Descending Triangle.
There is a rising wedge below price that is bearish if price breaks the bottom line of the wedge.
No recommendation.
Neutral until bottom line is...
Hello There!
Welcome to my new analysis about CAT Stock Price Action Analysis on the Weekly Timeframe Perspectives. The CAT Price Action recently showed up with a highly important dynamic and in this case a major formation has been formed that caught my attention. The CAT earnings through the recent quarters look pretty damn solid and the equity-to-debt ratio...
Should the red bar and wedge breakdown, there will be a lot of longs that got in recently on the large uptrending bar that started the wedge looking to get out (see Vol). Momentum indicator also showing a new bearish phase has started.
The Caterpillar share price has been experiencing ups and downs lately and has not quite been able to approach the resistance at $293.88. However, we anticipate that this breakthrough is imminent. With the low placed at the end of August, the price is currently in the turquoise wave 5, which should reach the green target zone between $325.21 and 358.93 and...
📈📊 #ChartPattern Alert! 📈📊
📈 Ascending Channel 📈
📈 What is an Ascending Channel? The Ascending Channel is a bullish chart pattern formed by two parallel trendlines containing the price action within a rising channel. The lower trendline connects higher lows, while the upper trendline joins higher highs.
📈 How to Identify:
Draw a trendline connecting at least two...
Caterpillar has been leading a rally in industrial stocks, but now some traders may expect a pullback.
Notice the gap to new record levels on August 1 after earnings beat estimates. CAT pushed to another high the following session but failed to hold and closed in the red. That kind of “shooting star” candlestick is a potential reversal pattern.
Second, the surge...
A bullish pennant is a chart pattern that often indicates a continuation of a uptrend after a brief consolidation phase. It is formed when there is a sharp price incline (flagpole) followed by a period of consolidation, represented by converging trendlines that resemble a pennant shape. This pattern suggests that the buying pressure remains strong, and after the...
Into 11th "up" week, although we not at the top of a long term parallel channel, this is close enough for my starter position. Just looking for a 10% - 15% pullback. I am not trying to catch the top, just inching in and will add to it if price goes up...
Earnings beat.
Conflicting patterns as a cup is bullish and the wedge is bearish. Rising wedges are not valid until the bottom line is broken, so this wedge is not valid as of yet.
Rising wedges can also break to the upside which this one did. Some would say a RW is caused by FOMO.
It exhibits too much excitement and it causes too much supply. When price...
