0AD6 trade ideas
$FANG - Diamondback Energy - Bull Flag & SEC Filings3/4/21
$FANG - Diamondback Energy - 9.16% Gainer
Catalysts:
Fundamentals (see details below 1,2):
-Company buyout
-Note buybacks
-Land and asset purchase
-Sector strong relative to market
Technicals (see chart):
-Bullish set up
-Great momentum over recent months.
Fundamentals con't.:
-8K's filing stated that they company would be buying out QEP, another energy and natural gas company as well as buying back senior notes due from both companies.
-Another 8K/A stated that the company "entered into a definitive purchase and sale agreement with Guidon Operating LLC to acquire approximately 32,500 net acres in the Northern Midland Basin and certain related oil and gas assets for $375 million in cash and 10.63 million shares of the Company’s common stock
-I'm going to be taking a look at some of the top daily gainers (may throw in some losers occasionally) of the day on their daily charts and posting them here throughout March. This is not advice. Just analyzing price action and patterns.
-I will try to vary the catalysts (analyst upgrades, earnings, clinical trial results, etc.) for the stock moving (if any) and the sector that the stocks are in.
-You'll notice I try to keep my charts as simple as possible. Black background and no grid. I will be focusing solely on price action, patterns, and support and resistance levels.
No moving averages, MACD, volume profiles, Bollinger bands, etc.
Please feel free to comment or leave suggestions. I am always looking to improve. Thanks.
Short $FANG - 1D TFI shorted $FANG yesterday. Price closed below DC20 on 6th November, MA50 is below MA200. RSI, MACD are bearish.
Weekly MA50 has crossed MA200 and price closed below DC20 a few weeks ago. RSI, MACD are bearish.
TP is next major support above 55.48.
SL is monitored depending price action in the upcoming weeks. Currently I would think IF 1D candle closes above MA50 and DC20. So it is a dynamic SL with time.
Current RR is not that favorable based on the above however continuation of the trend is quite likely and current price action suggests further down.
Any comments are more than welcomed! Thank you and please trade carefully and with money only you can afford to lose.
www.etoro.com
downtrend resistance, a couple outcomes?nice position to get puts on if we double top here and it gets rejected at trendline resistance too. lots of longs will be trapped/looking to cut losses early. theres always 2 outcomes though, if 70/top trendline breaks we can look for a test of 100!! wait for the breakout first imo. but maybe leaps could be the move here
Democratic control of senate could lead to major gains in EnergyFANG is one of the names poised to benefit from infrastructure bills and further rallies in the energy sector. I predict we see a return towards the 50% area on the Fibonacci retracement. I see $80 in the immediate future and much more to come if infrastructure is on the democratic agenda.
DIAMONDBACK ENERGY StrategyHello traders, DIAMONDBACK ENERGY is in a bearish dynamic fake with an inverted hammer candle and low executed buy volume. In the TIMEFRAME M1 we can see a kind of hammer candle with a large purchase volume past it is in full break of the VWAP. And it seems to have strength on this move as it is heading up its high potential equilibrium zone to breakout the price. Then a breakout of the zone is to come to leave in a second and to go on the last preceding top (seen from the initial TIMEFRAME on the TIMEFRAME H1) two excesses. And if the buyers are still in the game come on the next high with a test of a zone of equilibrium for a possible breakout. Not enough force for half of the intermediate median of ANDREWS PICHTFORK.
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Cup and Handle Falling WedgeIntra-year C&H pattern looks like it is forming..
Not to long entry level for this pattern but is past long entry level for the bullish bat pattern it is trading in (see prior post)
Price hit the top of the window of prior gap down and was stopped cold so watch that level at 47.25..
There is more R overhead that may slow FANG down a bit..
Falling wedges can be a reversal pattern at the bottom, not always as a stock can keep on going down in a FW as it can be a long term pattern just like it's opposite, the rising wedge. Both have trendlines that slope in the same direction and narrow, or converge at the apex. As a reversal pattern, it will slope in the direction of the trend, down. As a continuation pattern, the FW will slope against the prevailing trend (IE..in an uptrend). It takes at least 3 weeks to form which differentiates it from a pennant.
Possible stop below handle low (HL) or mid cup (MC)
Just an observation so be safe
Bullish BatPattern only valid at or above LE level with uptrend
Possible stop below 23.6 so close to LE level which makes these patterns nice to trade.
Possible T2 81.2 to 97 keeping focus on T1/Targets 1. T2 are long term targets
Gap down makes great support at the bottom of the window, but possible R at top of the window.
Monthly candle is bullish
Just an observation
FANG, $10.90 Target. Oil getting much cheaper.Not financial advice. I don't know what I'm talking about. Not a professional, I am somewhere on the autistic scale. Anyways,
With no real support below, this seems like the reasonable target based on the fibs. Fundamental factors could move this the other way.
FANG, $31 First Before Decision TimeI have a lot of reasons to believe that we will see the top of this range before moving down to the next level. We have bullish divergence on multiple TFs along with great volume on this latest move, and according to wyckoff accumulation schematics, this move would make sense after a spring like this.
NOT FINANCIAL ADVICE. I AM NOT QUALIFIED TO GIVE ADVICE. THIS IS NOT FINANCIAL ADVICE.
Value Investor DreamClear head and shoulders pattern over the last 3 years. Will see more downside/chop before this turns around. But should pop back as soon as Oil price rises and Corona virus jitters ease. Great fundamentals and margins within their industry as well. 1-2 month duration. Will add more to position at $60.
Trade at own risk*
"FANG": A Leading US Energy Play for 2020For those who have been following my ideas, you know I am bullish on top energy and oil companies. Diamondback energy has a $135 target by top Wall St. firms and analysts and while that doesn't mean anything, thats a hint that big money will flow in - and surely it has. Technically speaking, it has formed a clear rising channel from a several year head and shoulders.
I see no reason why this stock doesn't hit a $125-135 price tag by the end of 2020. In-fact, if the DXY continues to weaken, one cannot rule this stock making ATHs. In a bull market, Wall St. analysts usually underestimate target prices, while in a bear market or near a bear market they heavily overestimate market targets and stock targets. Therefore in this case, I cannot doubt this stock hitting 145-150 even though I do not forecast it necessarily.
Currently the stock is overbought and at heavy resistance so a pullback should be expected, however this stock will fair very well in 2020.
Advice: Enter on a pullback of >1% and open long position.
- zSplit
*Pullbacks and rises are not necessarily as depicted and drawn, but showing the general trend.
