Wednesday, November 21st Recap
After yesterday's low-volume digestion, today's tape was very bullish. I came in to today planning on another low-volume day and not planning on seeing much. Surprisingly, however, we noticed a few stocks that have been on our watch list that sparked some interest. First off, Facebook came shooting out of the gate with consolidation around $24. For those of you wishing to add, this was your spot to add (with a stop around $23.40). Also, Zillow (Z) and Groupon (GRPN) were on our watch list last night as very strong potential risk/reward plays. I'm still very bullish on Z and can see GRPN in our portfolio here and there depending on volume.
AAPL had a rather slow day, with testing both ends of the broadening formation and closing near the apex. I think a retest of 555 is still bullish, to entice a few new buyers. If 555 doesn't hold however, 545 will be tested - which MUST hold. If 545 fails, a potential gap fill is in order down to 530. Regardless, I am staying out of AAPL for now. A break below 545 would get me short and a break above 570 I'd most likely be getting long with a stop around 562.
The SPYs had a slow day and traded a very tight range today. A high of 139.57 and a low of 139.03 - closing at 139.45. Another day of digestion keeps me bullish, and I still believe that 138.80 is key support. On the SPX chart, I think 1400 remains our target next week, with a retest of the 200day moving average (1380).
A few notes from today:
- FB: Great to see them hold up today on higher volume. This gap has the potential to get filled early next week.
- Z: Closed great and shorts are getting squeezed left and right. Keep on your radar especially around 28, there is a gap to fill from 28 to 31, then 34.
- NFLX: same story, different day. Holding higher on lower volume. It is just going to take a high-volume day to get this one going.
- DIS: We had DIS on here a few days ago to fill its gap, which it did today failed at resistance ($49).
More charts below! If you have any questions or comments check me out on
Good luck this week, and check back here every night for more in-depth analysis!
The ET Team
AAPL had a rather slow day, with testing both ends of the broadening formation and closing near the apex. I think a retest of 555 is still bullish, to entice a few new buyers. If 555 doesn't hold however, 545 will be tested - which MUST hold. If 545 fails, a potential gap fill is in order down to 530. Regardless, I am staying out of AAPL for now. A break below 545 would get me short and a break above 570 I'd most likely be getting long with a stop around 562.
The SPYs had a slow day and traded a very tight range today. A high of 139.57 and a low of 139.03 - closing at 139.45. Another day of digestion keeps me bullish, and I still believe that 138.80 is key support. On the SPX chart, I think 1400 remains our target next week, with a retest of the 200day moving average (1380).
A few notes from today:
- FB: Great to see them hold up today on higher volume. This gap has the potential to get filled early next week.
- Z: Closed great and shorts are getting squeezed left and right. Keep on your radar especially around 28, there is a gap to fill from 28 to 31, then 34.
- NFLX: same story, different day. Holding higher on lower volume. It is just going to take a high-volume day to get this one going.
- DIS: We had DIS on here a few days ago to fill its gap, which it did today failed at resistance ($49).
More charts below! If you have any questions or comments check me out on
Good luck this week, and check back here every night for more in-depth analysis!
The ET Team