THIS WEEK'S EARNINGS PLAYS -- HD, FSLR, CRM, LOW, TGT, BIDUHere's are next weeks earnings plays that I'm thinking of playing via options, assuming the implied volatility rank "stars" line up correctly ... :
HD: announces on Tues 2/23 before market open.The rank is 55, the implied 32, neither of which is that great. If IV doesn't pop, I'll pass.
FSLR: announces on Tues 2/23 after market close. With a rank of 72 and an implied of 69, it's good to go .
LOW: announces on Wed 2/24 before market open. Its rank is 65; implied, 35, so it's kind of the edge. Like HD, its volatility needs to pop a bit for me to play.
TGT: announces on Wed 2/24 before market open. Rank: 57; implied 33. Needs to pop.
CRM: announces on Wed 2/24 after market close. Also good to go with a rank of 71 and an implied of 60.
BIDU: announces on Thurs 2/25 after market close. It's good to go with rank at 72, implied at 60.
EOG: announces on Thurs 2/25 after market close. Good to go, but I don't think I've played this one recently, which is surprising because it's an oil and gas play, and that sector's been hot volatility wise.
HLF: announces on Thurs 2/25 after market close. Also good to go, rank and implied volatility wise.
I'll post setups the day immediately preceding the announcement if it looks like they're still good plays.
HD
DOW JONES OVERVIEW: HD HOLDS MACRO UPTRENDOn long term basis, Home depot holds uptrend - price is trading above 1st standard deviations from 5- and 10-year means.
On short term basis, price is trading laterally - it is trading within 1st standard deviations from both 1-year and quarterly moving averages.
Moreover, current short term lateral range is outlined by the 1st standard deviations from quarterly mean (111-118)
Thus investors willing to take positions with the macro trend should look for pullbacks to the lower border of the short term lateral range
May have more upside potential, but it could be limited$HD is showing strength in a consolidating market and making its third attempt to break the 118$ resistance zone.
Right now, 118$ is a strong resistance that may hold and send the stock back down to test the bottom of the rising channel you see in the chart.
If $HD breakout attempt will be successful and the price will close above 118$, it may rally towards its broken uptrend line, there the price will meet a very interesting sell zone that I intend to monitor closely towards earnings (coming in two weeks).
The zone 121-123$ is a potential sell zone with bearish Butterfly completion and Fib extensions confluence range.
The initial target zone for this bearish scenario is 118$ (current resistance that should become support in that scenario).
My secondary target, should the price close back below 117$, would be the daily 200 SMA line, near 110$
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HD $114.47: Rallies to form a 3-week rising channelHD rallied off the 106.62 low (April 30, 2015, near the 38.2% retracement of the 86.35/117.99 rise), forming a 3-week rising channel. Further gains open the 116.24 (April 9, 2015 lower high) ahead of the 117.99 record high (March 20, 2015). 110.83 (May 14, 2015 low) serves as the immediate support. A breakdown there is needed to dampen the bullish momentum and reopen 106.62.
Outlook:
Short term: bullish
Long term: bullish
(LIVE TEST) - STEVE PRIMO #8 SETUPS (Day 2)Day 2 - Seems like an important day for these stocks.
Most stocks here are wound in a some sort of patterns.. This Strategy #8 trigger today can take signal a technical breakout. Watch out for the market...
SPY Lagging behind QQQ lagging behind IWM.
- Nimble and selective are the words i want to remind again.
HD The Home Depot getting a trimmer for ChristmasTaking a little off the top at the psychological level of $100 with excess supply, lo demand, distribution & pro active selling signals. High average trade size today indicates trading desks were active. I didn't check LOW yet as it is not a holding. Just managing risk and will use an option strategy also. Targets noted. This may play out in January. Time to be a boy scout (be prepared).