Meta Platforms 33-Days Cyclical price patternThere are many ways to make money with stocks. You can buy well-managed companies with growing earnings, hold them for years and watch the stock prices rise as the company succeeds. This conservative investing style sometimes rewards investors with huge long-term gains. For example, early investors in Microsoft or Bitcoin saw their investments grow MultiX in a decade.
This is what patient long-term investors dream about. But more often buy-and-hold investors don't hit the jackpot; rather they realize more modest returns.
Another investing style is to trade stocks very frequently with the help of computer programs that buy and sell shares of selected companies. Here traders make small profits or losses on many trades minute after minute. If you like lots of action while you're glued to a computer screen, this investing style might be for you.
Cyclical Price Pattern - An Opportunity to Make Money
And then there is every imaginable money making scheme that falls between the above two styles. You can buy mutual funds, exchange-traded funds, index funds, buy and sell individual stocks, time the market, buy on margin, sell short, buy and sell options, reinvest dividends, or some other variation on the theme. Talk with fellow investors and everyone has their own tailor-made approach to investing.
This article is about one investing style - buying and hold Meta Platforms (META) shares using Cyclical price pattern.
It's a style that I use and I know it makes money.
Buying cyclical stocks for a profit at certain points is a huge challenge but with commitment, multi-year trading experience and the proper technical tools you can consistently make money over your investing career.
Cyclical price pattern is very simple to understand. A single cycle has an upside during which prices rise to a peak and a downside or cooling off when prices fall to a bottom.
Based on this cyclical price pattern, I expect further upside price action in Meta Platforms stock, somewhere until National Unicorn Day.
Days to go: 33.
Stockmarketanalysis
S&P Bulls prove their controlThe strong close last week indicates a shift in control to the buyers. They managed to close above the previous week’s high, establishing a weekly higher low and confirming the daily uptrend. Currently, the bulls have control across all key timeframes: the price is trending upward on the hourly, daily, weekly, and monthly charts. The only challenge they face is on the monthly timeframe, where bears have initiated consolidation; however, this is not a critical issue.
It's plausible that the bulls might either retrace the entire bearish wave or, more likely, close May as an inside bar, setting a price equilibrium that could persist throughout the summer. Given this scenario, the current position might not be ideal for a long entry since we are in the middle of April’s range. If you're considering buying, it would be wiser to wait for a pullback that could provide a more favorable opportunity.
Disclaimer
I don't give trading or investing advice, just sharing my thoughts.
Nifty 50 within the Channel. Trend Analysis for short term TradeNifty 50 is currently trading within a Channel. This analysis suggests a short-term or swing trade approach. As the market is currently trending downward, consider using Trend Continuation technic and Fibonacci Retracement for your trading strategy.
JKH.N0000 - Key fib levels in monthly chartJKH is consolidating in golden pocket now. It should close above golden pocket to keep bullish momentum.In next few months, Next support will be around 0.5 fib level and resistance will be 0.718
Disclaimer: The information and analysis provided in this publication are for educational purposes only and should not be construed as financial advice or recommendations to buy, sell, or hold any securities. The author and TradingView are not responsible for any investment decisions made based on the content presented herein. Always consult a financial professional before making any investment decisions.
Nasdaq - Shifting back bearish?Hello Traders and Investors, today I will take a look at the Nasdaq.
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Explanation of my video analysis:
For over a decade the Nasdaq has been trading in a pretty obvious rising channel formation. We saw the last retest of support in 2022 which was followed by an enormous +70% rally towards the upside. Considering that the Nasdaq is now retesting the upper resistance, there is a quite high chance that we will see at least a short term correction lower before the Nasdaq will follow its overall uptrend.
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Keep your long term vision,
Philip (BasicTrading)
📈🚀 Robinhood (HOOD) Growth Analysis 📊💰User Growth Momentum:
NASDAQ:HOOD demonstrates impressive user growth driven by strategic promotions and incentives, solidifying its position with 23.6 million funded accounts as of February.
Institutional Investor Appeal:
Initiatives like the 3% match on IRA contributions attract institutional investors, boosting assets under custody to $118.7 billion.
Revenue Diversification:
Subscription revenue, particularly from Gold membership, saw a 25% increase in Q4 and is expected to rise further with continued advertising and promotions.
Trade Projection:
Bullish stance above $14.50-$15.00.
Upside target of $28.00-$30.00 reflects potential growth and value appreciation as Robinhood expands its user base and revenue streams.
📈💡 Stay tuned for HOOD's growth trajectory! #Robinhood #FinancialIndustry 🚀📊
🛢️💡 CNX Resources (CNX) Strategic Initiatives 📈🚀Market Adaptation Strategy:
CNX partners with NuBlu Energy to innovate CNG and LNG production, enhancing efficiency and market reach, showcasing adaptability to natural gas dynamics.
Supply Management Approach:
To address oversupply, NYSE:CNX reduces production and delays activities, demonstrating strategic flexibility in response to market conditions.
Market Outlook:
Analysts anticipate natural gas price stabilization in Q1 2024, with seasonal demand upticks favoring CNX's stock.
Trade Projection:
Bullish stance above $21.00-$22.00.
Target price of $31.00-$32.00 reflects potential stock appreciation as CNX optimizes operations and market conditions improve.
📈🔍 Stay tuned for CNX's operational developments! #CNXResources #NaturalGasMarket 🌐📊
JP Morgan Chase & Co. Hitting The Top The JPMorgan Chase CEO's WSJ was interviewed recently with Wall Street Journal Editor-in-Chief Emma Tucker, for a range of topics.
JPMorgan Chase & Co. Chief Executive Jamie Dimon ranked geopolitics as his top worry and said he's less optimistic about a soft landing than Wall Street in an interview on Thursday.
While Wall Street seems to be betting of a roughly 70% chance of avoiding a recession in a so-called soft landing in the economy, Dimon said he sees the odds about half that.
The green economy, the remilitarization of the world, fiscal deficits and geopolitics are all factors that could keep inflation higher for longer, he said.
"When I look at the range of possible outcomes, you can have that soft landing," Dimon said. "I'm a little more worried it may not be so soft and inflation may not quite go away as people expect. I'm not talking about this year - I'm talking about 2025 or 2026."
While the economy continues to do well for the majority of Americans due to low employment, rising home values and stronger stock prices, the threat of slow growth and inflation - stagflation - from roughly 45 to 50 years ago could return.
"It looks a little bit like the 70s to me," Dimon said. "Things looked pretty rosy in 1972. They were not rosy in 1973. Don't get lulled into a false sense of security."
Dimon said he has "enormous respect" for Jerome Powell when asked whether the Fed chairman is doing a good job as the central bank signals that it's not in a hurry to cut interest rates.
"I think the Fed was probably late in raising rates," Dimon said. "They caught up. They're probably right in watching right now. We don't know what's going to happen. They might as well wait."
Dimon declined to state a preference in presidential candidates and said the bank would work with whomever is in the White House.
Biden's economic policies are working "partially," he said, party due to the huge amounts of economic stimulus such as the Bipartisan infrastructure bill, which Dimon praised.
But the bottom 20% of wage earners in the U.S. continues to struggle.
"If you go to rural America, or inner cities, I'm not sure they feel they're being lifted up by this economy," he said.
He avoids social media but said he pulls up popular destinations such as TikTok once a year to see what's happening on them.
"I am not a fanatic on the phone....I think people should spend a little less time on that and a little more time thinking," Dimon said. "I'm not on any social media."
In technical terms, JPMorgan Chase's stock (JPM) has risen 14.43% so far in 2024 (compared to a 7.48% gain by the S&P500), hit the Upper side of Long-Term upside channel near $200 per share, able to further technical declines.
TeamLease Services will be 3x in coming futureWe can simply grasp the behavior of this share on a monthly chart. Share gives a bull run and flies from 850 to 3200 on the first try. On the second occasion, it flies from 1400 to 5300 levels, and on the third occasion, we intend to hold it for a new lifetime high, which would be about Rs 7,000 over a longer duration.
I hope you enjoy my analysis and continue to support me.
Please consult your financial advisor before making any trades based on my recommendations.
👀 Three Black Crows. Bear Market Candlestick PatternThree Black Crows is a term used to describe a bearish candlestick pattern that can predict a reversal in an uptrend.
Classic candlestick charts show "Open", "High", "Low" and "Close" prices of a bar for a particular security. For markets moving up, the candlestick is usually white, green or blue. When moving lower they are black or red.
The Three Black Crows pattern consists of three consecutive long-body candles that opened with a gap above or inside the real body of the previous candle, but ultimately closed lower than the previous candle. Often traders use this indicator in combination with other technical indicators or chart patterns to confirm a reversal.
Key points
👉 Three Black Crows is a Bearish candlestick pattern used to predict a reversal to a current uptrend, used along with other technical indicators such as the Relative Strength Index (RSI).
👉 The size of the Three black crow candles, timeframe they appeared on, the gaps when they opened, the downward progression sequence, as well as their shadows can be used to judge whether there is a risk of a pullback on a reversal.
👉 The “Three Black Crows” pattern should be considered finally formed after the sequential closure of all three elements included in it.
👉 The opposite pattern of three black crows is three white soldiers, which indicates a reversal of the downward trend. But maybe more about that another time.
Explanation of the Three Black Crows pattern
Three Black Crows is a visual pattern, which means there is no need to worry about any special calculations when identifying this indicator. The Three Black Crows pattern occurs when the bears outperform the bulls over three consecutive trading bars. The pattern appears on price charts as three bearish long candles with or without short shadows or wicks.
In a typical Three Black Crows appearance, bulls start the time frame with the opening price or gap up, that is, even slightly higher than the previous close, but throughout the time frame the price declines to eventually close below the previous time frame's close.
This trading action will result in a very short or no shadow. Traders often interpret this downward pressure, which lasted across three time frames, as the start of a bearish downtrend.
Example of using Three black crows
As a visual pattern, it is best to use the Three Black Crows as a sign to seek confirmation from other technical indicators. The Three Black Crows pattern and the confidence a trader can put into it depends largely on how well the pattern is formed.
Three Black Crows should ideally be relatively long bearish candles that close at or near the lowest price for the period. In other words, candles should have long real bodies and short or non-existent shadows. If the shadows are stretching, it may simply indicate a slight change in momentum between bulls and bears before the uptrend reasserts itself.
Using trading volume data can make the drawing of the Three Black Crows pattern more accurate. The volume of the last bar during an uptrend leading to the pattern is relatively lower in typical conditions, while the Three Black Crows pattern has relatively high volume in each element of the group.
In this scenario, as in our case, the uptrend was established by a small group of bulls and then reversed by a larger group of bears.
Of course, this could also mean that a large number of small bullish trades collide with an equal or smaller group of high volume bearish trades. However, the actual number of market participants and trades is less important than the final volume that was ultimately recorded during the time frame.
Restrictions on the use of three black crows
If the "Three Black Crows" pattern has already shown significant downward movement, it makes sense to be wary of oversold conditions that could lead to consolidation or a pullback before further downward movement. The best way to assess whether a stock or other asset is oversold is to look at other technical indicators, such as relative strength index (RSI), moving averages, trend lines, or horizontal support and resistance levels.
Many traders typically look to other independent chart patterns or technical indicators to confirm a breakout rather than relying solely on the Three Black Crows pattern.
Overall, it is open to some free interpretation by traders. For example, when assessing the prospects of building a pattern into a longer continuous series consisting of “black crows” or the prospects of a possible rollback.
In addition, other indicators reflect the true pattern of the three black crows. For example, a Three Black Crows pattern may involve a breakout of key support levels, which can independently predict the start of a medium-term downtrend. Using additional patterns and indicators increases the likelihood of a successful trading or exit strategy.
Real example of Three black crows
Since there are a little more than one day left before the closing of the third candle in the combination, the candlestick combination (given in the idea) is a still forming pattern, where (i) each of the three black candles opened above the closing price of the previous one, that is, with a small upward gap, (ii ) further - by the end of the time frame the price decreases below the price at close of the previous time frame, (iii) volumes are increased relative to the last bullish time frame that preceded the appearance of the first of the “three crows”, (iv) the upper and lower wicks of all “black crows” are relatively short and comparable with the main body of the candle.
Historical examples of the Three Black Crows pattern
In unfavorable macroeconomic conditions, the Three Black Crows pattern is generally quite common.
The weekly chart of the S&P500 Index (SPX) below, in particular, shows the occurrence of the pattern in the period starting in January 2022 and in the next 15 months until April 2023 (all crows combinations counted at least from 1-Month High).
As it easy to notice, in each of these cases (marked on the graph below) after the candlestick pattern appeared, the price (after possible consolidations and rollbacks) tended to lower levels, or in any case, sellers sought to repeat the closing price of the last bar in series of the Three Black Crows candlestick pattern.
Bottom Line
👉 As well as in usage of all other technical analysis indicators, it is important to confirm or refute its results using other indicators and analysis of general market conditions.
👉 Does History repeat itself? - Partially, yes.. it does. This is all because financial markets (as well as life) is not an Endless Rainbow, and after lovely sunny days, earlier or later, dark clouds may appear again, and again.
🛢️📈 SM Energy (SM) Analysis 📈🛢️🌐 Market Overview:
Industry Context: NYSE:SM Energy operates as an independent energy company, with its performance closely tied to oil prices and production.
Current Environment: Geopolitical tensions have led to a surge in oil prices, with Brent crude surpassing $89 a barrel, potentially benefiting companies like SM.
💼 Company Strategy:
Capital Spending: SM plans to invest $1.16-1.2 billion in capital spending, focusing on increasing production through more wells (115-120 compared to 89 in 2023).
Production Growth: The increased investment aims to drive production growth, aligning with the company's revenue objectives.
📈 Potential Upside:
Oil Price Impact: Rising oil prices can positively impact SM's revenue and profitability, potentially leading to stock price gains.
Revenue Boost: Higher production levels and favorable oil prices could contribute to revenue growth for SM.
📊 Bullish Outlook:
Market Sentiment: Bullish sentiment surrounds SM, with expectations of stock price appreciation.
Upside Targets: Analysts project an upside target above $43.00-$44.00, with potential further gains to $75.00-$77.00.
📈💬 DUOL Bullish Growth Analysis 💬📈🚀 Overview:
Market Potential: Duolingo operates in a thriving market, with the global language learning industry projected to grow at a 9.2% CAGR.
User Acquisition: The company's impressive organic user acquisition strategy, with up to 90% of new users acquired without paid advertising, demonstrates its strong market presence.
Product Development: Duolingo's focus on product development enhances user experience, driving conversion to paid subscribers and building a robust branding moat.
💡 Key Points:
Industry Growth: With over 2 billion global language learners, Duolingo is well-positioned to capitalize on the growing demand for online language education.
Organic Growth: The company's ability to acquire new users organically without heavy reliance on paid advertising showcases its strong market appeal and brand recognition.
Product Innovation: Continued investment in product development ensures a compelling user experience, fostering user engagement and loyalty.
📊 Trade Outlook:
Entry Point: Consider entering a bullish position above the $195.00-$196.00 range, anticipating further upside potential.
Upside Target: Set a target range between $320.00-$330.00, reflecting optimism for Duolingo's sustained growth trajectory.
Risk Management: Implement risk mitigation strategies, including stop-loss orders, to protect against adverse market movements.
🌐 Conclusion:
Duolingo's innovative approach to language learning, coupled with its strong market fundamentals and growth prospects, instills confidence in its long-term success. Bullish sentiment prevails, with investors eyeing potential upside opportunities in the expanding online language education market. 🚀📈 #DUOL #BullishGrowth 🌐📈
Nvidia - Entering a bear market!Hello Traders and Investors, today I will take a look at Nvidia.
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Explanation of my video analysis:
For more than 6 years, Nvidia stock has been trading in a long term rising channel formation. We had the last retest of support in 2021 which was then followed by a +650% rally towards the upside. As we are speaking Nvidia stock is retesting the upper resistance of the channel and we might see a short term correction towards the downside to retest the previous all time high.
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Keep your long term vision,
Philip (BasicTrading)
🏢 Bullish Outlook on Carrier Global Corporation (CARR) 📈🔍 Analysis:
Strategic Focus: Carrier Global Corporation (CARR) is concentrating on its core operations by divesting its Commercial Refrigeration and Fire & Security businesses after acquiring Viessmann. This move aims to expand its presence in food retail refrigeration.
Asset Optimization: Carrier sold its Industrial Fire division to Sentinel Capital Partners for $1.43 billion, enabling it to focus on its core heating and cooling equipment businesses and strengthen its balance sheet capacity.
Funding for Growth: Recent private offerings of USD and euro-denominated notes, totaling $3 billion and €2.35 billion respectively, provide funding for future growth initiatives, enhancing CARR's financial flexibility.
💼 Trade Plan:
Entry: Consider entry above the $50.00-$51.00 range, signaling bullish sentiment and potential for growth driven by strategic optimization.
Upside Target: Aim for profits in the range of $74.00-$76.00, reflecting confidence in Carrier's strategic moves and growth potential.
Risk Management: Implement stop-loss measures to manage downside risk and protect profits in case of adverse market movements.
📊 Note: Stay updated on Carrier's divestiture and acquisition activities, as well as industry trends impacting its core operations, for informed trading decisions. #CARR #Bullish 📈🏢
🩺 Bullish Outlook on Option Care Health (OPCH) 📈🔍 Analysis:
Strategic Partnership: NASDAQ:OPCH has entered a multi-year commercial partnership with Palantir to enhance patient outcomes and operational efficiency through data integration.
Cost Reduction: The collaboration aims to reduce costs and improve margins by streamlining operations.
Institutional Interest: Increased interest from institutional firms and hedge funds, including Vontobel Holding Ltd. and Vanguard Group Inc., indicates confidence in OPCH's future prospects.
💼 Trade Plan:
Entry: Consider entry above the $28.00-$29.00 range, signaling bullish sentiment and potential for growth.
Upside Target: Aim for profits in the range of $43.00-$44.00, reflecting optimism about leveraging the Palantir partnership for value creation.
Risk Management: Utilize stop-loss levels to manage downside risk and protect profits in case of adverse market movements.
📊 Note: Stay updated on developments related to the Palantir partnership and monitor industry trends impacting OPCH's performance for informed trading decisions. #OPCH #Bullish 📈🏥
AAIC.N0000Next Resistance level - 75
Support level 64
Disclaimer: The information and analysis provided in this publication are for educational purposes only and should not be construed as financial advice or recommendations to buy, sell, or hold any securities. The author and TradingView are not responsible for any investment decisions made based on the content presented herein. Always consult a financial professional before making any investment decisions.
CFVF.N0000Next Resistance Level - 20
Support Level 33
Disclaimer: The information and analysis provided in this publication are for educational purposes only and should not be construed as financial advice or recommendations to buy, sell, or hold any securities. The author and TradingView are not responsible for any investment decisions made based on the content presented herein. Always consult a financial professional before making any investment decisions.
ROIV – 20% Trading RangeNASDAQ:ROIV is trading near all time highs, and I just don’t see any good investment opportunity here. However, I do like that there is a nice trading range between the red and green trendlines with 20% swings. I would definitely trade these swings, it looks like there was a recent opportunity that was missed. But I’ll track ROIV to look for the next setup.
Apple - Go Long NowHello Traders, welcome to today's analysis of Apple.
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Explanation of my video analysis:
In 2019 Apple prefectly retested the previous all time high and started creating a solid rising channel formation. As we are speaking Apple stock is once again retesting the lower support of the channel which is perfectly lining up with previous resistance now turned support. If we see bullish confirmation on the smaller timeframes, I am looking for new long setups on Apple.
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I will only take a trade if all the rules of my strategy are satisfied.
Let me know in the comment section below if you have any questions.
Keep your long term vision.
Tesla - Wait For The CloseHello Traders, welcome to today's analysis of Tesla.
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Explanation of my video analysis:
After Tesla started an insane pump of + 3.200% in 2019, we saw a top being created in 2021 and since then, Tesla has been trending towards the downside. You can also see that there is a significant horizontal structure level at the $200 area and Tesla is about to break this level towards the downside. It is best to wait for the monthly candle close before taking new trades.
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I will only take a trade if all the rules of my strategy are satisfied.
Let me know in the comment section below if you have any questions.
Keep your long term vision.
EurUsd - 1.000 Pip DropHello Traders, welcome to today's analysis of EurUsd.
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Explanation of my video analysis:
EurUsd has been trading in a pretty obvious descending channel for over a decade and is currently retesting the top resistance of the channel. Furthermore there is a horizontal structure level around the $1.09 level which is also acting as resistance. I am expecting more bearish pressure on EurUsd to eventually retest the lower support of the channel pattern.
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I will only take a trade if all the rules of my strategy are satisfied.
Let me know in the comment section below if you have any questions.
Keep your long term vision.