Closing (IRA): TAN April 16th 85 Short Put... for a .27/contract debit.
Notes: In for 2.31/contract (See Post Below), out for .27. 2.04 ($204) profit per contract. Was really thinking that I would have to take assignment, but this little bounce on zero day will do the trick. Still in some May 21st 70's.
TAN trade ideas
Amazing opportunity in Solar: Breakout of nine-year baseSolar energy is at a historically interesting spot. Purely from a technical perspective, TAN is backtesting support level from over a decade ago following the breakout of a nine-year base. From a fundamental perspective, with upcoming infrastructure plans from the Biden administration and policies likely favorable to alternative energy, there are multiple potential catalysts to drive the sector. higher.
Opening (IRA): TAN April 16th 85 Short Put... for a 2.31/contract credit.
Notes: High 30-day at 63.7%. Going with the 17 delta strike in April. 2.79% ROC at max; 22.6% annualized as a function of notional risk. Will take profit on approaching worthless or take assignment/sell call against or roll if in-the-money toward expiry (whichever pays most).
Triple TopTAN has had quite a run.
The distance from the top and the neckline is not extreme though. I try to get a ballpark estimate of where it may go by drawing a trendline between top and neckline and moving it below the neckline. It is not exact, but technical analysis is not an exact science (o:
The trend is not your friend when it is about to end.
Sometimes when everyone is certain a trend will continue, it can mean everyone has been or is in it. I have noticed that an aging trend can end abruptly causing widespread damage.
If you notice a trend up and folks look at you like you are crazy, it could very well be the beginning of a new trend. If everyone enthusiastically agrees with you and there is widespread media coverage, it could be closing in on the end of that trend (be the trend up or down).
With solar being as popular as it is, it does seem hard to believe this one will not turn back up. Afterall, we will all have solar powered homes by Christmas (o: Corrections happen to the best sectors and it is not usually the end of a strong trend.
No recommendation.
The market can remain irrational longer than we can remain solvent.
TAN Bullish RectangleNOT A FINANCIAL ADVICE - THE INFORMATION GIVEN IS MY PERSONAL OPINION. USE AT YOUR OWN RISK !!!
We might want go to long if RSI breaks its trend-line, also if TAN breaks it's resistance level.
Rectangle shape is transforming for 2.5 months now which exceeds it's chances to break.
You might want to keep TAN on your watchlist to be updated if it's shape is actually working.
How to exceed your safety if TAN breaks it's shape:
1. Enter only if candle breaks & closes.
2. For higher safety - wait for another candle.
3. Set TP before expected resistance.
Be safe.
TAN waves for retracement, target 70Potential wave structure for the TAN etf (clean energy). Definitely something to keep in mind, looking at the fundamentals and politics over the next couple of years.
Disclaimer: The proceeding content is informational only and based on information available when created. It is not an offer or a solicitation nor is it tax or legal advice. It does not consider your financial circumstances and objectives and may not be suitable for you.
Copyright Rohan Karunaratne 2021
TAN ETF Investing for the FutureThis post intends to explain the fundamental analysis of why an ETF like TAN is a great investment for the future.
First we start to produce energy with wood, followed with coal that has great energy density but produces lots of pollutants, then we started to use oil, and since then we have become addicted to oil, but this addiction is not sustainable for the future.
We are about to reach Peak Oil in the coming years. Oil will become more expensive and we will need another source of energy to move our global economy, but also protect our planet while doing so, and solar energy can do this. Not nuclear, not eolic, not hydrogen fuel, but solar energy.
Nuclear power while very efficient and "clean", is risky, and nuclear waste if not handled correctly can do a lot of damage. Fukushima Power Plant is an example.
Eolic energy is a good alternative, but winds are not constant and this makes electricity production intermittent. Definitely we will complement our energy consumption in the future with eolic energy, but in a small percentage.
Hydrogen fuel, is a terrible thing to have to store and transport. Swapping petroleum for hydrogen would require pressurized fuel tanks, tankers and gas stations and all the incumbent costs, engineering and safety issues, definitely not the fuel of the future.
Then there is Solar energy.
It's an astonishing fact that capturing all the energy in just one hour's worth of sunlight would enable us to meet the planet's food and energy needs for an entire year. The solar revolution is coming. Solar is now the cheapest form of electricity .
The chart does not matter.
Solar is the future.
"The currency of the world is not the dollar, it's the Joule"
-Nathan Lewis
TAN target 70 for wave 2 retracement, long term target 400Almost filling out 5 waves up from the march lows, looking for a macro ABC retracement from the highs going into the coming weeks. Long term targets are still bullish, and based on the current fundamentals of the political climate, we could see alot of bullish momentum in the energy sector, particularly clean energy.
Disclaimer: The proceeding content is informational only and based on information available when created. It is not an offer or a solicitation nor is it tax or legal advice. It does not consider your financial circumstances and objectives and may not be suitable for you.
Copyright Rohan Karunaratne 2020
Solar year in review: O $31.33 H $107.33 L $21.14 C <=> $100Solar year in review:
O $31.33
H $107.33
L $21.14
C <=> $100
Do your own due diligence, your risk is 100% your responsibility. You win some or you learn some. Consider being charitable with some of your profit to help humankind. Small incremental steps work : If you double a penny a day for a month it = $5,368,709. Good luck and happy trading friends...
*3x lucky 7s of trading*
7pt Trading compass:
Price action, entry/exit
Volume average/direction
Trend, patterns, momentum
Newsworthy current events
Revenue
Earnings
Balance sheet
7 Common mistakes:
+5% portfolio trades, risk management
Beware of analysts motives
Emotions & Opinions
FOMO : bad timing
Lack of planning & discipline
Forgetting restraint
Obdurate repetitive errors, no adaptation
7 Important tools:
Trading View app!, Brokerage UI
Accurate indicators & settings
Wide screen monitor/s
Trading log (pencil & graph paper)
Big organized desk
Reading books, playing chess
Sorted watch-list
Checkout my indicators:
Fibonacci VIP - volume
Fibonacci MA7 - price
pi RSI - trend momentum
TTC - trend channel
www.tradingview.com
TAN Don't BurnWe're taking profits in the Solar ETF ticker TAN following a rapid run from an Extreme Turn BUY on Dec 16. Aggressive traders might look at initiating a tactical short on the Extreme Turn SELL signal that triggered our exit. The two largest components of TAN are SEDG and ENPH that both have charts that not surprisingly look the same as TAN and are both into areas of resistance.
The Extreme Turn hybrid indicator identifies potential turning points that can lead to quick countertrend moves.
Long #TAN solar ETF short termGood looking chart on the solar ETF #TAN. Clear trend lines, support and resistance.
Volume has slowed down on the downside finding support at the middle purple trend.
Resistance was found at the top of the channel at 88.35.
With increased volume and continued support id say were headed to restest above 88.35 at the squeeze.
Should we trend below the 83.24 level, id watch for 80.43 along the bottom trend line before stopping out.
Next point of interest would be 77.91