Tag Archives: Trade Tip

Charts Striking Points of Resistance/Support $GOOG $FOSL $NFLX

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Stocks are generally higher to start the day, but will that last?

All of these stocks are at important points from a chart perspective. I think each of these stocks will post a big move after hitting these points that I have highlighted below.

I am gearing up to take a position in $NFLX and currently waiting to get filled. So far no luck. What do I see?

For $GOOG $FOSL $NFLX I see major resistance which points to at least a short term pull back.

I think each offers a great risk reward for weekly puts.

$GOOG $885 at $1.20
$NFLX $215 at $.68
$FOSL $100 at $.40

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foslnflx

Where are We Headed? – Chart Updates – $GOOG $AAPL $SPY

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Equity markets around the globe sold off today after the Yen strengthened sending the Nikkei down dramatically after comments from Japanese officials scared investors.  We witnessed the same thing last week only to endure a remarkable recovery into the end of the week.  Was the recovery nothing but a sell-able bounce?  Are stocks poised for a big decline heading into the summer?

Two Fridays ago a late day swoon brought the bears out of hibernation.  The Hindenburg Omen!  Dirigible debris filled the sky.  The end was near, sell everything and head for the hills!  The bull market is over..... yet stocks closed the week higher.  Go figure.

We find ourselves this week in a similar position.  The bears are out of their caves, the fear is palpable, stocks are vulnerable, yet I think we have a good chance to close the week higher than we started.  I'm not sure there are many people saying the same thing.

Below are a few charts for $AAPL, $GOOG, and $SPY.  These chart are my opinion only as are where I think the market and these stocks are headed.

goog611

 

Based upon the last 9 months of trade for $GOOG I think 3 scenarios are possible but feel the most likely scenario is a move over $900.  Late last week I told the chat room that I thought $GOOG was starting to curl after a long consolidation.  That curl upward should lead to new all time highs.  I don't think it happens this week but it will happen within the next few.

aapl611

 

$AAPL remains well positioned for a move to $500, its just a matter of when.  A few months ago I said the same thing about $BIDU with the stock at $84 a share, saying $100+ was coming.  It took a little longer than I thought it would, but it came just the same.  $AAPL the only question, in my mind, is when this move will occur.  The bottom for the year was hit in April.  I think this will hold.  Right now we are looking at a very nice inverted head and shoulders and this will resolve 20% to the upside.

spy6111spy611

 

$SPY in my view has also bottomed for the time being.  We are looking at a possible inverted head and shoulders.  This should resolve with higher prices.  I think $166+ on the $SPY could be hit this week going exactly against what everyone else thinks will happen and putting the few remaining bears out  to bed again.  Good night.

Finally, if someone put a gun to my head and asked where these stocks will close the week, I would calmly answer:   $SPY $165.20, $GOOG 905, and $AAPL $450.

This Chart Looks Bullish Short and Long Term

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A downward trend looks to have been broken here.  The stock broke above long term trendline resistance recently and then came right back down to that line.  It acted perfectly as support and the stock looks poised to break out nicely to the upside.  I can trade both short term and longer timed options on this stock and that is what I intend to do.

I am looking for a 20% move higher.  I think that move could come over the next few months.  After that 20% move I think the stock ends the year 30% or better from today's trading range.  Below is the chart for the stock.

I am looking at December $45 calls at $1.10 and AUG $45 calls at $.37

ntap

Trade Ideas For This Week – GOOG, AAPL, FCX, BA

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Earnings continue this week with some big retailers reporting earnings.  This should offer an opportunity to make a profitable trade.  GOOG hit new highs last week and looks ready to make an even bigger move, which way will it go this week?  AAPL continues to break higher after a 6 month downtrend, will it keep moving up or will the stock pull back?

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AAPL I think a move back to $500 is coming, and it could come as soon as this week.  A break of $500 would require an over 10% move from AAPL's close on Friday.

I will be looking for calls this week.  I like the $480 strike for $.48.  If we get a move to $500 these options will offer a tremendous return.  A move to ~$470 by mid-week will also see these options rise in value.

The Trade Idea:

AAPL $480 weekly calls for $.48

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GOOG has been on a strong run the last few weeks and sits right near the all time highs it hit last week.  I think it moves over $900 and to $1,000 before it gets a big pull back.  The stock has broken out of a 5 year channel.  A break below $820 negates the move to $1,000, and I will become bearish there.  I like the $915 calls for this week.

The trade idea:

GOOG $915 calls $1.00

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BA has been consistently heading higher and recently hit new highs.  An analyst last week raised the stock from a sell to a hold.  My question is, if I listened to you and sold the stock, how the heck am I supposed to hold it now if I don't have any shares left?  Like we saw with AAPL, the bottom is usually confirmed when the last analyst caves in and downgrades the stock.  With BA the stock has seen a bevy of upgrades and a host of positive comments.  We should see at least a short term pull back to the $90 area.  I like the $92.5 puts for a pull back last price $.39.  I would like to get them cheaper if I can.

The trade idea:

BA weekly $92.5 puts for $.30

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FCX has seen a magnificent move from its neck line test a few weeks ago at $27.50.  This rally is running out of steam and I like the risk reward on the weekly FCX $32.50 puts last trade $.48.

The trade idea:

FCX weekly $32.50 puts $.48

 

I will post other trade ideas later this week in the chat room, blog, and/or forum.

Have a great week,

UPB

 

Two Trade Ideas For Tomorrow Thursday May 8th

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I have two trades I am looking at for tomorrow.

The market closed yet again at all time highs.  Will it ever pull back?  I have a two stocks I think will pull back to close the week and offer the chance to profit on downside.  Profit and downside?  Those are two words that don't quite go together in this centrally planned stock market.  However a well timed put play can be very profitable and that is the goal with two trades I am looking to open tomorrow.

In each case I will be looking to enter these trades within an hour of the open.  I will let you know if I end up in any of these trades.

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$FCX.  The stock has bounced admirably from its long term neck line support.  It has come up to a shorter term resisitance line which should offer the first good chance at a pull back heading into weeks end.  I like the $32 weekly puts they closed at $.16

 

Trade Idea: $FCX $32 weekly puts $.16

 

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$BA.  Boeing has broken out of a channel to the upside, recently hitting new highs.  The stock is due for a breather, and the put contracts offer a great risk/reward price.

Trade Idea: $BA $92.50 weekly puts $.10.  I am looking for a pull back to ~$92 before the stock makes its next move to triple digits.

 

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