PZZA Detected possible stock repurchase!!!PZZA: papa johns intl
2018-03-01 08:30:11
Detected possible stock repurchase
PP1 trade ideas
#PZZA #neutral PZZA has formed an ugly upside down cup and handle on the daily chart. However, on the 15 minute chart you can see a multiple bottom. The stock is also playing with a long term trend line.
With the lack of significant formations in the market to trade, I have decided to use this time to try some new strategies. I will try an earnings straddle. I am shooting for a march at the money straddle.
$PZZA positive RSI divergence at longterm supportThis strategy has been working amazingly well for me in 2017. See $CMSCA and $AA recent blow ups. RSI divergence indicates that the sell side momentum is waning quickly and buyers are swooping back in. Doesn't mean buyers will take control of the price but "I'm saying there's a chance" and the R/R is good.
PZZA Oversold RSI BounceAfter an incredible market overreaction PZZA has plummeted over $30 from the ATH. This is the lowest the rsi has been on 1D/3D/1W timeframes in nearly 18 months. This should make for an easy oversold bounce play with a conservative target of $68, a higher target of $75, and a potential new ATH given the incredibly strong trend of this stock.
PZZA - Upward channel breakdown, H&S short down to $55.73PZZA appears to be breaking down from a short term upward channel. Interestingly on the weekly frame it seems forming a H&S formation. Overall technically it looks an interesting short opportunity.
PZZA
Date First Found- June 20, 2017
Pattern/Why- H&S on weekly chart
Entry Target Criteria- Rally to $77.27-$79.00 or break below $74.93
Exit Target Criteria- $55.73
Stop Loss Criteria- $80.13
PZZA short opportunityPZZA (Papa Johns) is looking like a solid short set up.
Logic:
Breakdown of support on Feb 22nd on serious volume.
bounce off 73.63 support in a descending wedge pattern followed by a recovery up.
Trouble the past two days breaking the closing price of the Fed 22nd move, as evidenced by the long wick yesterday.
H&S pattern forming.
cloud resistance at current price.
Wait for a good downside move, then consider buying May 77.50 puts. This stock may print a few more dojis or even test the 81.21 resistance before continuing down, so be patient!
LongIm very long on Papa Johns because there is a huge support line and im expecting a reversal move. The candle of today is pretty strong and shows that the power of the prior move has dimished and the candle today shows that we can see a move on the upside. So there is a nice and strong support line on the daily chart and on the weekly chart, the candle of today is very bullish for a reversal move.
Papa Johns Pizza -- Post Earnings -- Massive Diamond BreakoutPapa John's International Inc PZZA:NSDQ
Target Price Range: $73.00 - $76.00
Implication
Bottom Triangles and Bottom Wedges are considered to be bullish signals that mark a possible reversal of the current downtrend.
Description
Bottom Triangles and Bottom Wedges make up a group of patterns which have the same general shape as Symmetrical Triangles, Wedges, Ascending Triangles and Descending Triangles. The difference is that these particular formations are reversal and not continuation patterns. These patterns have two converging trendlines. The pattern will display two highs touching the upper trendline and two lows touching the lower trendline. Contrary to Triangle formations, Wedges are characterized by their boundary trendlines both moving in the same direction.
This pattern is confirmed when the price breaks upward out of the Bottom Triangle or Bottom Wedge formation to close above the upper trendline.
Bearish technicals. False break above resistance.$PZZA is bearish for numerous reasons;
1) False break above resistance followed by re-entry into range.
2) False break followed by hanging man candlestick.
3) Sudden jump in volume and ADX are the result of a one off earnings beat instead of due to natural supply/demand fundamentals.
4) RSI not only failed to break higher along with the price but also shows us that our timing is not too late for a short.
