VALE-Impending Breakout (WEEKLY)VALE has been consolidating for almost 3 months at a previous resistance. Now its preparing for a possible double bottom with a bullish divergence on both the RSI and MACD on the WEEKLY with higher relative volume over the past two weeks. VALE also has one of the highest open interests in the entire market especially for the OCT21 14,15 and 20 Dollar Calls. Yes, calls. An unusual sign considering the market has been selling off sharply. When the market reverses I expect this to go back to its next resistance of $18. This is one of my favorite setups to trade and offers fantastic risk to reward when entered properly. There is no entry yet as the timeline for the consolidation stage is still unknown. Entry will be a breakout at the $14.50. Also look for breakout occurring with strength returning to the broader market for the incoming boucne.
Unusualoptionsvolume
Most Valuable StockApple is the most valuable publicly traded company ($2.37T) behind Saudi Aramco. This title has been rightfully earned as the company continues to deliver in customer loyalty, growing services business, and continued product development pipeline. This stock has continuously made all-time highs since its inception and is currently within 1% of its all-time high of $143.15.
Technically, there are three indicators that show favorable future price action.
1) The company is not in an overbought condition according to the MACD.
2) The company has tested its previous resistance of low $140s multiple times.
3) The company Price-to-Earning ratio has consolidated as earnings have risen in the past couple of months
Furthermore, as interest rates have been low this company is a safe bet to outperform due to its historical growth. This provides a sense of risk-free return, a great hedge in the current high-valued market. Finally, there has been significant call buying recently further ratifying the potential for a breakout.
Unusual Options Volume SKLZ $20 APR 30 Call
SKLZ earnings date is May 04 2021
Earnings run up and break of down trend. Stock moved with increasing volume today. Possible break of trend into run up for the earnings with good possible upside if it holds at current levels.
April $20 Calls Lots of volume today 9,000+ contracts traded. Heavy open interest on May 21 $20 thru $35 strike calls indicating more up side.
Consider 21 May options calls above 21.50.
Down trend channel break $18.11
Trigger $21.50
Target 23.50, 24.57 resistance, stretch target 27.50
Wide SL close below $17.00
Close contract before ER to be on the safe side.
SOXL 3X Semi - Unusual Volume $2M+ traded for $42 strikeAMEX:SOXL $2M+ in premium traded for $42 strike calls for Friday May 21th 2021 expiration traded today.
Unusual Options Volume Activity for $80 calls about 9000+ contracts traded through out the day (Above Open interest of only 1162) from $2.10 to $2.50
Various semi conductor stock earnings coming up soon.
Bounced off 50 EMA Today on the daily showing downside support. CCI is also trending up going from bearish to bullish after being sold through out the day.
Nice hammer on the 4H chart
A Months time on these options I would recommend a vertical spread to keep theta at bay.
Wait for confirmation of break of the $40.00 level for upward trend and possibly a close above this level to start a position.
Enter using $40 or $41 calls around trigger as theta burn will be less once ITM. Or consider a vertical.
Exercise caution when entering 3X ETF as they tend to move rapidly to the down side on any pullback.
Support 50 EMA $38.55
Trigger $40.00
Target 41.44, 42.44, stretch target of 43.45
SL close below 50 EMA
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Unusual Option Activity Plug $1.4M premium traded above OINASDAQ:PLUG $1.4 M in premium traded for $29 strike calls for April 23th expiration traded Today.
Unusual Activity for $29 calls about 17,000 contracts traded around 2:39pm @ approx $0.70 (Above Open interest of only 1252)
Plug power earnings date is 05/06/2021
This stock is showing a nice hammer on the daily close today after falling past few days indicating a possible reversal in trend.
The stock has bounced off Long term support at 24.52 & also held 25.71 previous support.
It is also showing a possible cup and handle on the 15 minute chart with today's bounce. Expect support to hold and stock to keep running up towards ER after drawdown.
2 week's time on these options I would recommend a vertical spread to keep theta at bay.
Support 25.71
Resistance 27.77
Target 28.35, 28.75, 29.25 & 30.41
SL close below 25.75 new support.
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RIOT Unusual Call ActivityUnusual OI and call volume on the the 1/15/21 $15c. Check with your broker but TD showing big spike on 12/16, 12/17 & 12/18.
Following its lower trendline, caught horizontal support as well as the support on the 8 EMA. I'd like to see a break on the upper resistance trendline on the RSI before making an entry.
$CCL breaks months-long flag and is cruising for a ~50% moveThe break of the flag which was followed up with a near perfect bounce off a retest of structure. Went long after it was noticed that this move coincided with significant dark pool buying activity and unusual options activity on August 6 and 7.
In the short-term, looking to target $17-$17.50 in the next few days to take most profits off and then add back in during a pull back. Long-term will look to take profit around $20.