KHC
Is Kraft Heinz Worth The Squeeze. History says its time to dropI have changed up how to best display projected movement. In the case of KHC, 6 of my algorithms signaled a SELL on March 29, 2021. Equities nearly always obey the signal and move down, but sometimes it may continue to move up first.
I have placed two red boxes and two green boxes on the chart. The larger red box depicts all of the historical movement, from a percentage standpoint, that this stock has moved on the Hourly chart after a SELL signal occurred. Therefore, this box represents 100% of previous movement upward before the stock finally moved downward. The smaller red box represents 50% of all historical movement upward, before the stock moved downward. The smaller box is more of a precise target for the potential top in this instance.
The green boxes represent the same thing. In this instance, the smaller green box would be my projected target for the final bottom.
The black dotted arrow represents median historical movement. Medians are a good metric, but they are just one of many I use when forecasting future movement.
As always, the stock could decline the very next bar after the signal without looking back (therefore the red boxes would not come into play) or the stock may never decline (and the green boxes may never come into play).
All statistics and the full analysis are available for free as always at the site below.
SPY/DIALooks to be a divergence forming in the SPY/DIA chart between purchasing volume and valuation. Stoch is also approaching overbought but RSI is still within a good limit. Could indicate a coming pause in the cycling of the market after the recent upswing in value/non-tech companies. Could be a good time to get into some value companies or to check your charts for the same divergence and hedge or short if it makes sense.
Similar divergence found on the daily SYF, CVX, and KHC daily charts. All three are also reaching overbought levels in either the Stoch 14/3/3, RSI or both.
Kraft Heinz to 55 USD according to iHSDue to the inverted Head and Shoulders and respecting the Fibonacci Retracement levels we can expect KHC to go up to 55 USD.
TP Levels:
42 1st
55 2nd
68 3rd
Fundamentals aswell will give us a switch back to defensice stocks.
This is not an investment advice, just my own opinion.
KRAFT HEINZ - KHC - USAI can't say it's too cheap but it's under than its own value. I'm not going to buy this, it's just hooked my filter. (MACD and Stoch RSI have turned to positive.)
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$KHC Ascending Triangle - Bullish Options Flow$KHC Ascending Triangle - Bullish Options Flow
Monitor for a close above $36 key resistance level. Big gap to fill all the way to $42.50 from Feb'19.
Huge deep-in-the-money bullish options flow today on Kraft-Heinz:
$123M in deep ITM calls ($15-$20-$22.50 strikes) for Jan'21 and Jan'22 expiration traded today. About 82k contracts in total vs OI of ~13k - or in other words 6x open interest.
An additional $6M in ITM calls ($25-$27.50 strikes) for Oct'20 expiration traded today as well. About 4 times open interest.
Medium term price target: $42.50
KHC - gap-fill above 18% upsideWB's loser stock is performing this year. Hell, it even broke a downtrend by making a HH. It is resting at support atm with MA below it. With restaurants and businesses starting to open, their sales should also increase in that segment. The home segment is also buying more than before so there should be a good case for a profitable Q.
I would start building position and looking for immediate profit level 1 at the gap-fill at around 40$+.