AMAT trade ideas
I took a shot on $AMAT ... See why!SO i like the morning star reversal candlestick pattern forming at previous support dating back to 04/13/17, and the recent crossover on the stoch. Tight Stop in place. #GLTA
New Strategy. Looking for Good dividend paying stocks on top of my oversold stocks that have been performing well this year but have pulled back to the 200day ema. If you look at the weekly charts instead of the daily, it is possible that this stock could fall into the 30$ range. Up potential of 40% with dividends to collect.
AMAT: Bull Flag?AMAT is currently setting up in a Bull Flag on the weekly chart time frame.
The Flag pole here is about $50 in length and so any Flag breakout could be expected to extend by that order of magnitude.
Watch the weekly chart Flaf trend lines for any new breakout.
Could We See A Pull Back In AMAT Before Retracement?Looking at the weekly chart, it appears we are hitting resistance at the 23.6% retracement level. RSI is flat and MACD isn't showing strong momentum, so for now, I am waiting for the pull back.
If this fails to break, we will look to retest support around $45 before this thing is ready to retest ATH near $62.
Will wait for confirmation higher/lower before entering JAN 2019 long call position
AMAT technical and fundamental pitchAMAT has been forming a falling wedge pattern. A falling edge pattern is a bullish chart pattern, therefore it could signal that AMAT is currently consolidating and investors can expect a continuation in AMAT's long term bullish trend . Furthermore, the divergence between the MACD and Stochastic indicators (moving upwards) and the price of AMAT (moving downward), could suggest an upcoming rally as the MACD and Stochastic are leading indicators. Moreover, short interest has decreased from 18,299,338 to 15,061,436 in the past month, suggesting bearish sentiment has been faltering. All this suggests an upward movement in price, which would cause an upward breakout from the falling wedge .
Fundamental:
AMAT has been able to consistently meet and beat analyst expectations for the past billion years, maintain a strong balance sheet and constantly remain dynamically efficient by innovating and creating cutting -edge technology. However, growing tension between the USA and China has resulted in AMAT's price falling recently, despite little change in the company's underlying intrinsic value. Therefore, anyone with at least 2 brain cells should be able to see that AMAT is trading at an absolute steal right now, with my invaluable buy stamp of approval.
Price Target:
The price target should be the initial height of the falling wedge added onto the price in which the breakout begins to occur. If AMAT breaks out of the wedge , a price target of roughly $64.00 is reasonable.
AMAT: The technical and fundamental pitchTechnical:
AMAT has been forming a falling wedge pattern. A falling edge pattern is a bullish chart pattern, therefore it could signal that AMAT is currently consolidating and investors can expect a continuation in AMAT's long term bullish trend. Furthermore, the divergence between the MACD and Stochastic indicators (moving upwards) and the price of AMAT (moving downward), could suggest an upcoming rally as the MACD and Stochastic are leading indicators. Moreover, short interest has decreased from 18,299,338 to 15,061,436 in the past month, suggesting bearish sentiment has been faltering. All this suggests an upward movement in price, which would cause an upward breakout from the falling wedge.
Fundamental:
AMAT has been able to consistently meet and beat analyst expectations for the past billion years, maintain a strong balance sheet and constantly remain dynamically efficient by innovating and creating cutting -edge technology. However, growing tension between the USA and China has resulted in AMAT's price falling recently, despite little change in the company's underlying intrinsic value. Therefore, anyone with at least 2 brain cells should be able to see that AMAT is trading at an absolute steal right now, with my invaluable buy stamp of approval.
Price Target:
The price target should be the initial height of the falling wedge added onto the price in which the breakout begins to occur. If AMAT breaks out of the wedge, a price target of roughly $64.00 is reasonable.
Trying to get a sense of AMAT on the MonthlyPrimary Waves and a decent Fib Retracement... maybe. I'm not much of a fib guy. Usually looking for mechanical entries for short term option trades or very long calls, where the monthly really does wonders working with TTM.
AMAT Long Term TradeAMAT in a nice distribution phase. Buy low sell high. Stop below the 100SMA on the weekly, looks delicious.
One could also look to Sell some put options down here or buy call options 3+ months should be fine on this one.
AMAT: Is the post wave 5 correction over? So far only about 38.2% retracement. MACD appears to be bottoming. Entering strong support.
AMAT - Buy Target 50 . This will go to 50 and hopefully go to 52 and higher looking at weekly chart. Keep an eye.
AMAT - When Time Is Right Take Advantage Of It Look at the charts, obvious how you could take advange of this current price action.
1) could write covered call option, which means buy in 100 lots stock and sell a higher weekly or monthly call option above price action (might want to not get caught in earnings, scheduled for 8/17/18. This is a conservative opition play, because you already own stock, but also make money when prices go up. If your sell call option (lets say at $50) is hit, you make difference of currrent price to $50, around $400 profit collect premium and sell your stock to someone else, do it again.
or
2) sell option weekly or longer puts underneath current price action and collect premium, you want this to be far enough where chances are neve hit, but you make a good amount of premium for your trade. If your option is hit underneath current price action, you would need to buy stock? Nothing wrong when you now own this stock at like $40, which is around major support levels. Then use it to do another and new opiton trade.
AMAT - Short term break outOnce it's breaks the falling wedge , enter with tight stop loss little below falling wedge .
Will AMAT bounce after the conference next week.There are always contradictions galore between one analyst and another. Between what the stock is doing and what the Analysts say it will do. That's why we have a saying "trade what you see" AMAT has a Strong buy rating but the same guy who gave it this status just lowered the price target on this stock. He's looking at the downward channel AMAT is in coupled with White House bumbleing and is just trying to cover his own corporate ass. "I told you I was less bullish on this one." Well no you have not told us that if you continue with your strong buy rating. Let's see if Thursday and Friday of this week have him move his rating back a notch to BUY if AMAT doesn't break out of this channel.
The market could get a bit of a tailwind with some earnings calls next week but last Earnings Season taught us to lower our expectation for that alone to pivot the entire Shabang and return us to a Bull market. In the Semi Conductor sector there are some great articles out there but it's all speculation. Micron needs to go on a run and show leadership in Semis if AMAT is going to remount it's 9 EMA. That would get many buyers paying attention. Until it can remount it's 9 ema it's just another dropping ticker Strong buy or not. Set your alerts and keep an eye. Semis can run. But it's got a ton of over head resistance where as Micron MU is today dropping below it's 9 ema and 50 MA. One good day and MU remounts and can run. I'm not expecting or seeing this happening. I think there's more pullback in MU before it move's to all time highs again but I think it's a Trade War and Market Cycle issue. MU is still a strong company. My alerts on AMD MU INTC NVDA will all be checked regularly.
$AMAT - Breakdown in progressNice lil descending triangle forming. Pretty tight resistance, almost makes it look like a wedge so I wouldn't be too quick to jump on some puts. Potential a bull trap if we see a breakout around / above $52.50. MFI in that parallel channel so we should see a next move coming soon. Healthy looking dip for the most part; most ideal short entry for bears would be if price could fakeout-breakout to test 180WMA ($53 more-or-less).
