So last year the rally lasted until the 4th week in January. What happens after that? January Fed meeting.
To make the wedge chart line up with last year's pattern, I drew up yet another wedge in orange then a final rally on Friday to back test the green wedge.
It's pretty much a wild guess, so I wouldn't invest money based on this. I closed out my SPY and ...
More wedgies as the market is still moving up. Yesterday's doji appears to be a headfake, we may see another dip before breaking through this next resistance. At this point, it;s safe to say that the market will continue to melt up for a few more days.
Financials leading the way (which is very bullish) buying GS calls on the dip was the obvious day trade.
Like a lot of other stocks, it's settled in at the same price as right after the previous earnings, bouncing back from the liquidity issue after the last rate hike.
It's probably just waffle around here until the next earnings report where they lose hundreds of millions selling stuff at negative margins.
Looks like the bounce is over for most stocks, they're all back to where they were after the last earnings report before they got hammered by the lack of liquidity during the interest rate panic. NFLX made it all the way back up, AMZN, FB, take a look at where they were 3 months ago. Same with your favorite stock.
There are a few stocks that have room to go up ...
Someone asked me about this a couple of weeks ago...
Last time they had crap earnings people started bailing out 4 days before the next earnings. Buying puts at close tomorrow, will roll into a lower strike on Momday if this pans out, if not I'm holding the puts through earnings.
This is strictly a timing call. Also I expect earnings to be crappy. If you're ...
Structure looks similar to all of the other corrective bounces, and they don't have FAANG stocks to pump, although I'm sure they watch Netflix.
Will buy puts tomorrow depending on what their market does overnight So far futures look weak.
So they gapped the futures down on open last night, and you figure the computerz need to close the gap. I figured it'll happen today, of course they wait until after market close to fill it. Dow has already filled the gap, SPX hasn't yet. They hit the pump button on the computerz, let's see if it continues through the night.
If the pumping continue, it looks ...
I should've bought calls, I predicted the more analysts pumping after the GS BS. WHat's the P/E ratio now, lol?
Anyways, this is going to be the most epic earnings call ever. Possible $100 swing to either side in days.... double top or double bottom? If ever there was a time to play a strangle....
Same pattern as Jan 2018, expecting it to hit the upper line of an expanding triangle. then it's a reversal or continuation depending on earnings.
Note: Intraday chart appears to have formed a pennant over the last 4 days so it has to pick a direction Monday/Tuesday. With the market melting up like last January, I wouldn't short this until earnings either way.