OptionsRising

OptionsRising Updated 

On the weekly chart, price seemed to be breaking down from a channel and then reversed course to move higher. If this is a rubberband reaction and risk-off resumes, then this monthly frame shows a 2nd leg down that could move to 62-58. Alternatively, if risk-on stays the course to continue January's rise, then price moves up to the 20ma, 96-100 area. Watch daily...

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Price is unlikely to rise over 340 before earnings on 21 Feb. It may stay under 330. There is plenty of time for swing puts, for price to move back down in range (gray box) 328-280. The purple band shows upper supply zone. 1- 5ema < 12ema < 20sma 2- bearish reversal open 3- long red candle closed below recent rangebound days 4- RSI below 50 5- stochastic %D moving down

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Moving averages can be applied to many things, from stocks and currencies to fitness measures and crop harvests. Here, the candles show US10Y is finding support off the 200ma, after making a significant decline. The 20ma (blue) and 50ma (dark blue) will indicate the yield's next trend as they separate. The green line graph shows a serious decline in the U.S....

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Certainly this trendline has made the rounds. It is posted repeatedly on trading sites. Here I have used the actual candle highs (yellow arrows) to draw a precise resistance line. Candle on 12 Dec pierced the line but met 50sma resistance. RSI is over 50 but lacks stochastic support; thus it could be a double-top 50 test. Price is also just under Ichimoku cloud...

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As company earnings decline and forward guidance becomes pessimistic, Nasdaq 100 has room to go back to 9000-8700. Big tech companies have already started reducing their workforce, and more layoffs may come next year. The 200ma offered support after the first leg down, but now it looks like it might give way. RSI and stochastic are bearish. Now is a good time to...

OptionsRising

When corporate earnings decline and unemployment rises, the Dow Jones Index will fall further. Zoom out on weekly and see monthly. Macro cyclical changes are happening right now. If you plan for it, you can capitalize on it. For example, move retirement money out of equity funds into cash. You can increase savings now to buy a car or home when prices drop. Think...

OptionsRising Updated 

The original video post is linked. When you make time to form a weekly (big picture) outlook or plan, your swing trade ideas will be stronger. It is common knowledge that swing trading is generally more profitable than day trading, with lower risk. I originally created my SPY, SPX plan on 19 October and have used it until...

OptionsRising Updated 

After a double bottom, I am looking for price to rise from the current rangebound consolidation. The yellow arrows show a $30 stock price move. Price action has shown some relative strength today and can move up over the next two days if markets rise. My only caution is that RSI shows bearish divergence already, but since price has pulled back today. It is...

OptionsRising Updated 

Price has not yet broken downtrend line with a candle close over it. RSI and stochastic are strong on 5m chart, with moving average crossovers. Price just started moving, so day trade entry may have been missed, or look for a new one. My day trade design was from 153ish up to the 200sma, which often holds as first resistance. On the 30m chart, stochastic is...

OptionsRising Updated 

The trade idea I presented in my previous Tesla post (linked) did not work because price went lower on Thursday and pulled RSI down below 35 (orange rectangle). My initial idea on 16 Nov. was for RSI to move higher from 35 as price rose. Instead RSI fell and stayed below 40 for two days (remember this is a 30m frame), until the green candle in the final Friday...

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Aside from the daily levels, there are 4 technical reasons to lean bullish on TSLA stock right now. Numbers match chart. 1 - When price flipped up from 9 Nov, %K spiked from 4 to 83. This under-20 to over-80 move in 2-3 candles creates a warning signal for more upside. There is no lower gap fill since the 10 Nov candle wick took care of that. 2 - Support line at...

OptionsRising Updated 

Just because last time price sold down after earnings, does not mean it will happen again. What I see is that price is trying to close above upper downtrend line but 20sma is still below 200sma. Also yesterday price opened at the line and dropped. 316-318 should hold as resistance for a pullback into yellow oval. The 30m chart leans bullish for now, because 20ma...

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There are 2 inside bar candles and today is a third for now, though it looks like we may break lower before close. If not, stock may gap down tomorrow and open near 172 or lower. Notice the directional movement index - gold line - is extremely elevated, over 80. As green line comes back down below 40 I am looking for buyer exhaustion to yield to selling, which...

OptionsRising

Please read notes on chart first. Yellow arrow and triangle breakout are points (time and place) at which you might buy calls for a swing trade. If your trade is based on 30m timeframe, you can still use 5m to fine tune your entry. Key is that you identify targets and stops based on your 30m chart. Study white arrow on today's 5m chart for today's swing trade...

OptionsRising Updated 

Simple chart here that makes a likely case for a downward directional trade. There are 4 simple moving averages - 10, 20, 50, 200. Yellow arrow mark major tops which also line up with RSI over 70 (orange circles) and directional movement (DMI) peaks. Directional movement is a less popular volume indicator, but it has saved me many times on a 5m chart from...

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RSI and stochastic look great, and price has at least to move up to the yellow line. However when you zoom out on the daily and see weekly, it may be worth while to buy calls with more time than 11/18. P/C ration on OI was 0.52 and today it is over 8. Seems there is some large put writing (selling puts) before earnings.

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Yellow vertical lines mark earnings days. Gray boxes show price action afterwards - given the stock's run up since end of Sept, and seeing RSI and stochastic with price at all time highs - I like the reward/risk of buying 11/4 or 11/18 puts. Today the top 10 November volumes are in call strikes and one 11/18 97.50 put. I cannot say if they are being bought or...

OptionsRising Updated 

Now that earnings are done, the technical picture gives reason for BA to return to lower prices. First, price needs to break 10/25 candle, 141.88, to create a bearish engulfing candle that opened near the 100ma. RSI went below 33.33 so I look for it to stall at 60-65 and turn back down.