TWLO - 16.92% Potential Profit - Uptrend CorridorUptrend Corridor bounce with target price set at resistance bounce.
- Strong Uptrend
- RSI above / STOCH about to cross 50
- MACD above Signal
Suggested Entry $254.57
Suggested Stop Loss $245.26
Target price $297.63
Note that I tend to adjust stop losses in order to secure profits early and preserve capital. This means that the target price is going to be achieved as long as there are no strong pullbacks that trigger my new adjusted stop loss.
TWLO
TWLO - Potential Short Opportunity - Gap tradeTwilio Stock has had a great run up to over $215. Two Insiders are selling stock over the last week, selling a combined 52,000 shares. The stock hit an all time high, and we might see some consolidation.
We look at a couple technical indicators, specifically the RSI which is trending downwards, during this entire spike of the price. In fact, the price almost doubled, from $122, and the Relative Strengh Index is showing a weakening buying volume during that time.
Looking at the chart, we notice a gap trade is active, right around the price of $124. The price rose from $124 to $152 in a VERY short time period, which is likely to see the price of $124 again in the future. Judging that is also around the Fibonacci Resistance level of 61.8%, I think there is a low-moderate chance of seeing that price again.
I will be looking to enter at $145 - $150, in hopes that the growing company will see stock prices of the all time high again.
This is IF the stock takes a dip.
Twilio is a High Probability TradeWith the stock market bouncing higher off support I felt it would be a no brainer to scan through some chart for some high probability trades. Luckily, I found one... Twilio .
You're Saying buy a Stock up 200%?
Yes, I am saying that buying Twilio isn't all that bad given the set up. Regardless of whether Twilio is up 200% since the March 16 low price action is setting up for further expansion to the upside. See the 4-hour chart below.
Above is the Elliott Wave picture for Twilio . As you can see the move that led to a large GAP is clearly a wave 3. The strength of the move up is undeniable. If you know Elliott Wave you'll know that wave 4's like to consolidate into triangle formations. Here for Twilio, we have just that!
On the daily chart above I have an ascending triangle drawn out. I also highlight how MACD is finally beginning to turn up as price approaches resistance for a forth time in a month.
Price targets are 1) the ascending triangle measured move which equals $232 or 2) Fib level 1.236 measured from the start of wave 1 to the end of wave 3 which equals $272.
I think at this point you know which direction I am leaning. For the record I have bought Twilio stock and will update as I off load my position. Bias: Bullish.
TWLO BLUE SKY BREAKOUTA system used to take advantage of assets that are in the middle of an intermediate uptrend or advancing phase. The objective is to find periods of temporary weakness or pauses within a trend that can be used to initiate positions. Positions are held from days to weeks with the goal of accumulation of numerous small profits.
Blue Sky breakouts are different from coils since this set-up remains above the 20-day EMA and have not completed the 6-week time requirement. Support and resistance lines can be observed when zooming in to hourly charts. This set-up usually appears in strong bull or momentum markets. Confine stock picking in sectors or markets demonstrating strength.
Set-up:
Price has to be at least 6-month high, preferably ATH
Consolidation which lasts for 2 weeks (maximum of 4 weeks) and has to be above the 20-day EMA.
Almost no price retracement.
Trigger:
MACD crossing up indicating momentum on price accelaration
Execution:
Break of pattern resistance with strong impulsive break out candles supported by above average volume
Management:
Price Targets set through Fibonacci Extension
If price retraces and hits stop loss point, set-up may be turning into a coil and may need more time to complete.
Big monthly candle could signal big reversalTwilio is a great platform, but it's still yet another cash burning technology company with a long way to go on being FCF positive. I've certainly seen worse balance sheets, but they have funds and may be able to make it work out over a longer time frame. Last month was one heck of a month for the stock and it's arguably in bubble territory along with many other PaaS organizations.
It's going to take some time for this one to play out, but a rally month in May could lead to a basing month in June and then depending on market sentiment a drop in July. No position yet, best thing to do for now is set some alerts for price movement and see how it plays out.
Twlo bounce play
What is TWLO?
Twilio Inc ., together with its subsidiaries, provides a cloud communications platform that enables developers to build, scale, and operate communications within software applications in the United States and internationally. Its customer engagement platform provides a set of application programming interfaces that handle the higher level communication logic needed for nearly every type of customer engagement, as well as enable developers to embed voice, messaging, and video capabilities into their applications.
Entry $180
Target 185
stoploss 177
Fortinet - Flag on 10smaSoftware companies have really enjoyed the rally year-to-date.
Fortinet shocked the market with a triple play in earnings, which resulted in a jump to start the "All-time-high Run"
TWLO, SHOP, OKTA, TTD are some examples of stocks with very similar moves, indicating oversold territory in the RSI can stay oversold for longer than you might expect. Also, the 10-day-moving average has been very indicative in these charts.
As long as we continue to hold the 10sma, the trend remains bullish.
DDOG possible TWLODatadog , Inc. engages in the development of monitoring and analytics platform for developers, information technology operations teams and business users. Its platform integrates and automates infrastructure monitoring, application performance monitoring and log management to provide real-time observability of its customers' entire technology stack.
Its safe to assume we are in the beginning of a tech bubble "unicorn" in plain sight. With the economy continuing to lift and the all time highs of jobless claims we are looking to see companys like DDOG and NYSE:TWLO go to the moon.
Gw Magic Overlay hasn't signaled any momentum loss since it started climbing on the 30 min time frame. Even after a 30% move during market hours yesterday it still managed to climb after hours.,
Hollow candles have reached a higher high pre-market than after hours yesterday.
Parabolic SAR is in strong uptrend.
Pivot point/support line is $57.69 and looking to test $63.18 today. Looking to Test and breakout past R5 level at $74.02 if momentum continues past R4.
Stocastic RSI on a 20ma comedown look for the coil up.
NTNX - Golden Cross, Cloud sector stocks bullishNTNX - Golden Cross (50 SMA crosses above 200 SMA), MACD crossing up , Cloud sector stock showing bullish signals and could hit $37.5 for form a cup. NOW also golden cross. US-China Phase 1 trade signing is is Jan 15th, so be cautious with risk size. Feb 21 $35 calls would be good option. Sorry, I havent published in awhile...
TWLO thrice confirmed divergenceNYSE:TWLO saw a meteoric rise in stock price late last year as well as just after its IPO. For a while now the stock has been showing significant divergence on everything from the weekly to the daily. The peaks of the buying volume has shrunk, average volume has shrunk, momentum steadily slowing down, peaks of SRSI have waned while the longer term RSI has steadily decreased. I see a quick bump in price action before the price corrects to proper values.
Speculation: stock price is dramatically over-inflated from private and big bank investors. Long term the company and the stock price appear strong, but short term is headed into corrective territory.