All things STOCKS

#1,276
#1,276
APT has gone parabolic. Time to go long on PPE manufacturers. 3M probably the biggest and most well known. Vaccine and therapeutics are my other long plays.

Thinking of going with slightly OTM SPY puts expiring next week, but I'm overleveraged as it is.
 
#1,277
#1,277
When you look at the DJI all-time chart, the MACD negative histogram formed yesterday is the largest on record. Huge technical damage done on the DJI.

The SPX has also been badly damaged. $286 on SPY is a 50% retracement from recent SPY's most recent swing low to high. That's where we may have a fakeout rally, which is an opportunity to scalp or go short, before SPY dumps again to make lower lows. I just can't see any catalyzing event to reverse this volatility.

There are lots of gaps to fill on the way down. I'll continue to look at SPY and DJI to see where we have levels of historic resistance. If we can find some support somewhere that used to be resistance, and we finally have some seller exhaustion (bullish divergence, harmonic pattern formation), that's when I'll go long.
 
  • Like
Reactions: Freak
#1,278
#1,278
GoVolsDR said:
When you look at the DJI all-time chart, the MACD negative histogram formed yesterday is the largest on record. Huge technical damage done on the DJI.

The SPX has also been badly damaged. $286 on SPY is a 50% retracement from recent SPY's most recent swing low to high. That's where we may have a fakeout rally, which is an opportunity to scalp or go short, before SPY dumps again to make lower lows. I just can't see any catalyzing event to reverse this volatility.

There are lots of gaps to fill on the way down. I'll continue to look at SPY and DJI to see where we have levels of historic resistance. If we can find some support somewhere that used to be resistance, and we finally have some seller exhaustion (bullish divergence, harmonic pattern formation), that's when I'll go long.
Click to expand...

I wish I knew what language you speak, maybe I can get a Rosetta stone?
 
  • Like
Reactions: quadlee21
#1,279
#1,279
bignewt said:
I wish I knew what language you speak, maybe I can get a Rosetta stone?
Click to expand...

The tl;dr is that a trader can use the Fibonacci sequence and golden ratio to identify impending price reversals and find areas of value. 1.618 Phi, the golden number is present in everything from architecture and anatomy to trading and finance. The below link is a good summary of how a trader can use Fibonacci as a trading tool.

Technicals with ETMarkets: How to use Fibonacci to identify buying levels

Fibonacci sequences are helpful as they help traders identify market sentiment and when price action is trading. As a trader maps the price action on a chart, there are harmonic patterns that can be identified as either bullish or bearish. Some of these patterns are Gartleys, Bats, and Butterflies. Sometimes these are referred to as XABCD patterns. These patterns track waves of sentiment upwards and downwards. Other kinds of wave theories include Wyckoff wave theory and Gaussian channel analysis. The below links are pretty good summaries of how harmonics can be incorporated into one's technical analysis.

Technical Analysis Strategies for Beginners
Harmonic Patterns in the Currency Markets

It takes times for these patterns to form, and this is just one way of analyzing the market. Japanese candlesticks are another technical indicator that identify patterns, and the longer the timescale you're looking at, the more valid these patterns becomes.
 
#1,282
#1,282
Might be a good time to start nibbling. Short term trades and building core holdings. I'm thinking about trading United Rental. Decent pullback and they might have a good spring and summer as companies might be hesitant to make major purchases and will instead rent more equipment in the near term. International Gaming (IGT) is another possible trade. But they might be under pressure in the near term if the casinos cut spending.

Long term buys I'm thinking JP Morgan, maybe UPS (but AMZN worries me by bringing delivery in house).
 
#1,285
#1,285
A very large hammer just formed on the DJI, and the Dow hit the golden retrace today.

@bignewt

This is a confluence of a couple of variables I mentioned in my post from this morning. A hammer is a bullish Japanese candlestick pattern that indicates imminent price action to the upside. Plus the Dow hit the golden ratio retracement today, which is another variable that indicates impending price action reversal. Afterhours, SPY is already up .25%

Hammer Candlestick Definition and Tactics
Fibonacci and the Golden Ratio: Using Technical Analysis to Unlock the Markets

Based on the analysis above, I'm going long. I'm buying SPY shares and options for a scalp. I'll dump options ASAP. I anticipate more downward price action in the medium term, but in the very short term (days), the technicals indicate immediate upside.
 
  • Like
Reactions: Freak
#1,287
#1,287
Also, if anyone is looking for a flip, UNT should be good for a .35 to .65 type play within the next couple of weeks.
 
#1,289
#1,289
Thunder Good-Oil said:
Might be a good time to start nibbling. Short term trades and building core holdings. I'm thinking about trading United Rental. Decent pullback and they might have a good spring and summer as companies might be hesitant to make major purchases and will instead rent more equipment in the near term. International Gaming (IGT) is another possible trade. But they might be under pressure in the near term if the casinos cut spending.

Long term buys I'm thinking JP Morgan, maybe UPS (but AMZN worries me by bringing delivery in house).
Click to expand...


I added small amounts of vz, CVS, jblu and ups today. No one knows, but I expect another 1k to 1.5 k minimum drop in the DOW.
 
#1,293
#1,293
BigOrangeMojo said:
Took positions in COP and CVX today. First time in a long time that I've added energy stock to portfolio.
Click to expand...

Yep. I keep some cvx in my portfolio. It has been killed since the beginning of the year not to mention dug up and mutilated this week (-23% ytd). Love the div at over 5% now and that it has increased every year for 34 years.
 
#1,295
#1,295
I added to Delta Airlines (DAL) at $46. It took a 20% hit this week, and is 27% below its 52 week high of $63. It has been beaten up over the coronavirus. I may be getting in a bit soon, but I think I will be in good shape down the road.
 
#1,296
#1,296
So will analysts adjust earnings expectations for these companies so that they don’t miss, and possibly exceed them? Or will they keep expectations high, resulting in a lot of misses, causing even more drops?
 
#1,297
#1,297
GoVolsDR said:
A very large hammer just formed on the DJI, and the Dow hit the golden retrace today.

@bignewt

This is a confluence of a couple of variables I mentioned in my post from this morning. A hammer is a bullish Japanese candlestick pattern that indicates imminent price action to the upside. Plus the Dow hit the golden ratio retracement today, which is another variable that indicates impending price action reversal. Afterhours, SPY is already up .25%

Hammer Candlestick Definition and Tactics
Fibonacci and the Golden Ratio: Using Technical Analysis to Unlock the Markets

Based on the analysis above, I'm going long. I'm buying SPY shares and options for a scalp. I'll dump options ASAP. I anticipate more downward price action in the medium term, but in the very short term (days), the technicals indicate immediate upside.
Click to expand...
What term of SPY options are you looking at?
 
#1,299
#1,299
And just like that, the Dow is up over 1200 points today. So glad I went long on Friday. Technical analysis works, even in the most volatile of markets.

What an incredible run today. There are lots more gaps to fill on the way back up. If you're a bull, you have to feel extremely positive about the impending price action.
 
  • Like
Reactions: VolAllen and Freak
#1,300
#1,300
GoVolsDR said:
And just like that, the Dow is up over 1200 points today. So glad I went long on Friday. Technical analysis works, even in the most volatile of markets.

What an incredible run today. There are lots more gaps to fill on the way back up. If you're a bull, you have to feel extremely positive about the impending price action.
Click to expand...
It’s been a wild day for sure. I didn’t expect a move this large. Crazy.
 
New posts
You must log in or register to reply here.

VN Store



Back
Top