CAT idea long wedge vs breakdownI just posted a CAT long idea. (check my profile for context on that)
I mentioned a breakdown but didn't draw it out so decided to make another post (this one).
I'm looking out for both options.
CAT has strong fundamentals and i can't imagine it getting absolutely wrecked, even in worsening economic conditions.
CAT
Watch this ticker attempt a rally...When less than stellar stocks attempt to run after a 90 percent drop its note worthy to watch, understand the basic mechanics of the pump and dump and FOMO by bed ridden traders that believe they can make millions while laying in bed... This is half a joke and half true, never chase trade but if you must understand technical, short term resistance above $7 upper resistance $16.... Woahhh, 200 percent gains sounds insane but also 900 percent in less than two week. Based on Fibonacci levels you'll understand why $16 is the sweet spot and if you trade this last week you'd know why $16 held in the initial rally now people dead cat bounce are really this isn't me saying BUY because I can already hear the traders with their eyes cover in buggers saying pumper as if they hold million that my suggestion to watch this for educational purpose would lead them to buy and lose such precious money... So understand this is an opinion agree to disagree and show me your analytical skills not the hot air blasting from your morning breath (@: Remember always keep watch because those with infinite resources will always have an upper hand on us the APES. Trade the trend not your greedy my friends...
Caterpillar: At site 🚧Caterpillar is at site, working on wave (2) in magenta, which should lead further downwards into the magenta-colored zone between $198.40 and $171.37. From there, the share should turn upwards again, climbing above the resistance at $266.04. However, there is a 34% chance that Caterpillar could slip through the magenta-colored zone and drop below the support at $160.02. In that case, we would expect the share to develop a new low in the form of wave alt.2 in green first before heading upwards again.
First Republic Bank Continues Below $5Merely an update to my previous idea.
And well... I started this idea before the bell, and it was $3.51 at the time.
It's now $2.01 post as of typing this but that will be different already.
I think I will just post this as is, because it's moving too quickly to make any rational conclusions.
To be noted, every time $15 was broken, the market dumped it below preventing it from becoming proper support.
Now, the HKEX:5 line is going to be doing similar tricks on it and FRC fell below it.
Notice the two more recent dead cats I have professionally marked 😼
I did not have HKEX:3 price line on my previous chart, but I see that now there's a clear line there as well.
Only psychological levels matter at this point.
Same ideas:
*It's a personal opinion of mine that psychological levels, whole number resistance and support, should have this much control over price action.
Psychological levels have the most effect when there's extremes of emotions. I feel it's rather self-explanatory.
It's either going towards zero or it's getting bought to prevent it from hitting the pavement.
The variance in price alone is a clear indicator its in deep trouble while it was just downgraded to BB.
Previous low on charts of $17.60 is notable, while HKEX:20 pertains to psychological significance.
Below this, I see little more than psychological levels.
HKEX:10 , double digits. HKEX:5 , where select exchanges consider a stock a penny stock. HKEX:1 , where the rest consider it a penny stock.
You can label a ton of this chart a deadcat bounce here or there.
Please add thoughts. I didn't see a Fibonacci ladder helping much because the price action was too chaotic.
DYOR/DYOC.*
CAT is a BUY +++CAT has bounced nicely off support of $215 ish 6 times and the moving averages are crossing upward. I would expect some buying support in coming days with new moon phase. CAT resistance $234 which it hit this morning, cloud resistance around $245 and overhead resistance of $247, if it breaks above all these we have a 52 week high to break through of $266
3/31 Watchlist + Notes SPY - Going into todays session, I mentioned that I had a bullish bias that I was only 75% confident in due to the downside gap that remains unfilled on the daily, and because we were sitting on a daily upper trendline. SPY gapped up for the second day in a row and closed green, confirming our overall analysis, but created a failed 2U, which leads me to believe that we could be overextended short term and may see some downside going into Friday's session. The weekly chart is strong and is showing that we are breaking out of this downtrend we have been in looking at the weekly chart. I have a feeling tomorrow could be a day of consolidation or pull back to try to fill in the small gap created in the daily from yesterday and today. Final Thoughts: I am Neutral/Bearish going into tomorrow. If we do see upside, I would imagine we peak at the 405 area on SPY. I can't Imagine we push too much higher until next week.
Watchlist+ Bias:
(No daily chart inside setups showed up on the scanner from today's session)
FDX - 3-1-2U weekly : Bullish. Looking to test 226.06 tomorrow/Monday
DOCU - 2-1 Weekly: Bearish
CAT - 2-1 Weekly: Neutral
Main Watch:
DOCU - Interesting setup with this one. DOCU has a 2-1 weekly that is still not broken out of, even this late in the week. It also has a 2-3-3 daily, which is what I am most interested in for this play. The 2-3-3 setup has created a big broadening formation. Today was a huge red engulfing day, which is why we have bearish bias going into tomorrow. Additionally, DOCU is in a pretty neutral place currently after being in a 14 Month downtrend, which tells us that we are now consolidating and looking to either continue further down or reverse according to longer timeframes. My targets to the downside are 56.01 and 55.24. I will only play downside, not upside.
Yesterday's Main Watches:
JNJ - (Status:) Loser (Personally Trade?) No
JNJ gapped up over yesterdays high during the premarket session, invalidating the setup because I usually do not play inside setups if we open above/below a long/short entry level. JNJ quickly fell back into yesterdays range and rejected yesterday's high a few times showing that it was weak to the upside. Overall just didn't play out how we wanted, but that's just part of trading
GOOG - (Status:) Winner (Personally Trade?) No
GOOG opened within yesterday's range, then broke yesterday's low, which was our entry short. GOOG immediately dropped down to our target at 100.28. It hit 100.29 before reversing. The main takeaway from this play is that it was nearly textbook perfect in terms of entry, and target. Cons ran just over 50% in a matter of 2 minutes. Unfortunately, this trade would have been very tough to realistically take due to how fast it moved and completed the move we wanted. Situations like this are sort of a win because we know our analysis was spot on, but the price action moving too fast was the only reason we couldn't capitalize on this trade.
Watchlist Stats For The Week:
3/4 on SPY Predictions
3/5 on Main Watch Plays
Top Winner: NVDA (75%+)
Personal Stats:
5/7 For The Week
Overall Green/Red?: Green
Personal Note: Most likely will not have time to trade tomorrow, but regardless if I do or don't, on Sunday night I will provide analysis about tomorrow's session and what I am looking at going into Monday
CAT Swing Long Reversal UPDATECAT is now bottoming for a SALE just in time for seasonal construction and agricultural upticks.
The long view is a long uptrend that started in September and ended with a lousy earnings report in
early February. The beatdown is now ending perhaps for fundamental reasons including CAT
has cash and down not need high-interest rate costs.
See the chart for the analysis. See also the previous idea. Check DE.
I see this as an intermediate-term swing long or investment or a good choice for a long expiration
call contract of options.
CAT Swing Long ReversalCAT has a downtrend 10% from its 30-day high.
However, fundamentally the industrial is holding up quite well.
The downtrend was inverse parabolic accompanied with
an appropriate volume pattern showing 3X relative volume
This is sometimes called the retirement trade pattern
or V-type pattern. CAT has dropped to three standard
deviations below the anchored VWAP /
This makes it undervalued well below fair value.
I see this as a good setup for a long swing trade or a call options
contract with the expectation of a 50% retracement of a
10# drop or a 5% price target For the call options I will
target the anchored VWAP at a strike of $243 about 12 DTE.
CAT: Range Bound Swing TradingCAT developed one of the entry signals I teach this week. The stock rebounded from testing the lows of the trading range. Hybrid indicators suggest large-lot buying is triggering in the lows of the range.
Point gain potential may be limited by the sideways trading range developing, but swing trading can be done within the range if you can catch the entry early in the upswing from the lows and plan to exit near the highs.
This trading range will need to compress near the highs to sustain a breakout to the upside.
CATERPILLAR SHORT 2 distinct possibilities, but the RR is great.
HIGHLY dependent on SnP and US30 ofcourse, broader market implications are always extremely important to keep an eye on.
Nonetheless, wouldn't be surprised to see the first position be a sweep of wicks and then retest of lows.
Second position would mean we sweep highs of wichs but also fill the gap above before we dump to retest lows.
Let's see.
NFA.
TSLA Relief Rally *Be Careful-(Short Term Bullish)***Warning Monday Jan 2nd (Market is Closed) - Q4 EV Deliveries - good report then TSLA will complete H&S pattern and continue Bullish Island Gap Reversal
Positive:
`TSLA is Very Oversold, we could see a continuation of this bounce up too 150-180 if production release is great on Monday.
-Bullish Chart patterns show inverse H&S pattern created by Island Gap Reversal.
LARGE Buying Volume strong-sign of institutional investment - this could be accumulation phase
Beginning of January tends to be positive for the stock market
NDX & SPX showing signs of upcoming relief rally (*before we make final leg down)
HYG & JNK Bonds are showing bullish divergence
Negative:
Monday possible less deliveries than expected -if is lack luster I can see TSLA dropping 7-12% to retest the low
China Covid Cases/ Shanghai Factory Slow production
Tesla is still in a Strong Bear Market pattern
Elon and Twitter Drama
Earnings report on the 23rd - with factory issues, supply issues - it does not look promising
Macro H&S Pattern puts the measured decline to $90-$80 range
Sentiment:
Short Term -Swing /Day Trading -I am only Bullish for the Short Term* (1-2 weeks) .
Long Term Investing: I am Bullish for Long Term (5 yrs) ....over-all I would choose the $109 area as 1st pt accumulation / $80 area second point / $60 area 3rd pt (TSLA will Grow 25% Sales YoY for next 5yrs) PEG ratio looking good
Bitcoin | Dead cat bounce?The trend drawn from the ATH level of 2011 looks like a pullback movement in the red line. Price can say that the sloping trend line is a pullback movement after it broke down in November of last year. As for the RSI indicator, as indicated by the red circle in the figure, the situation is very close to the scene of the sudden fall in the summer of 2015.
In general, the 15500 zone was the bottom of the bear market, and most traders are anticipating the market with the belief and hope that a bull run has begun. As far as I'm concerned, the bear market is not over and we expect to see another new bottom. This upward movement that has been going on since the beginning of the year is seen as a possible "Dead Cat's Reflection". It is too early to tell if this is the case, as the rate will prove to be a dead cat by breaking below the previous bottom.
W Bottom to Momentum Run Example: CATWeekly Chart of CAT: this is one of the Dow components that is nearing its previous all-time high resistance levels. It is one of the first few Dow 30 stocks to challenge prior all-time high prices.
Caterpillar Inc. has been running with momentum that will now pause or stall at this level. Now, watch to see which support level holds as profit-taking continues.
This is NOT a trading range but an intermediate-term correction ending with a W bottom. Important to note the differences. A bottom after a correction tends to set up for momentum runs that can sustain longer than they do within a trading range.