PLTR: Technical Analysis for Trading and GEX for Options Trading
Trading Analysis:
* Current Trend: PLTR is showing strong upward momentum, breaking out of a rising wedge pattern. However, it's approaching resistance near $80, with $85 being a major level to watch.
* Support Levels: Immediate support is at $74, followed by a stronger base at $72.50.
* Resistance Levels: Resistance stands at $80, with $85 marking a significant overhead level.
* Indicators:
* MACD: Shows bullish momentum but starting to flatten, indicating a potential slowdown.
* Stochastic RSI: Entered the overbought region but beginning to curve downward, hinting at possible consolidation or minor pullback.
* Volume: Consistently higher volume on bullish candles, suggesting strong buyer interest.
Gamma Exposure (GEX) for Options Trading:
* GEX Levels:
* Call Walls:
* $80 (Highest positive NETGEX and Gamma Wall).
* $85 (Third CALL Wall, signaling strong resistance).
* Put Walls:
* $72.50 (Second PUT Wall).
* $60 (Primary support from options data).
* IVR & IVx: Elevated IVR at 81.2 and IVx average at 78.5, suggesting PLTR options are relatively expensive. This is suitable for strategies like spreads or covered calls.
* Options Sentiment: Calls dominate with 76% GEX allocation, confirming bullish sentiment.
Actionable Suggestions:
1. Bullish Scenario:
* Entry: Above $80 with confirmation of breakout.
* Target: $85 (next major resistance level).
* Stop-Loss: $74.
2. Bearish Scenario:
* Entry: Below $74 if price rejects $80 resistance.
* Target: $72.50 and potentially $70.
* Stop-Loss: $80.
3. Option Strategy:
* Bull Call Spread: Buy $80 call and sell $85 call for a risk-defined bullish setup.
* Short Put: Sell $72.50 put to capitalize on strong support and elevated IV.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research and manage your risks before trading.
