78P trade ideas
AFRM violent bounce off supportAFRM has dropped 61% in 47 trading days, absolute capitulation but this is a gift from the trading gods if you are looking to start a position. Earnings coming on Feb 10th are probably going to blow expectations out of the water. Either way I expect this to creep back towards the $88-$90 range before earnings. Calendar call spread, Long leg 2/18 $85 calls for 3.48 a contract, short leg $85 call 1/28 for a credit of 0.85 call 1/28.
AFRM possible reversalWhat’s bullish:
- Filled the gap
- Bullish divergence
- Bounced off strong resistance line transforming into support line
- Bounced off strong support line since May
- Earnings approaching
What’s bearish:
- Still under 50ema
- Overall sentiment for Fintech is bearish at the moment
Me:
Hello started with stocks 1 year ago. After analyzing many charts I have accumulate more experience than a newb now I’m a newb+. Feel free to give me feedback
Target level for AffirmOn August 2, 2021, I published my first analysis about NASDAQ:AFRM when it was 64.71:
Now it is on the WSB's list (rank 9 in today top mentioned)
I believe this business model "Buy now Pay Later" could be expanding very fast in the future.
A successful Australian Model "Afterpay" shows huge potential in this field.
Affirm could reach a new all-time high and surpass the previous one..!
and the gap in the chart may not fill in the near future..!
$AFRM is a bad investmentThis company seeks to profit off of short term loans the delinquency rates on these loans are rising and therefore they are likely to loose there profits they have failed to meet earnings and i doubt they will in surpass earnings expectations in the near future my price targets are 70-65 i wouldn't suggest anyone take this trade though technicals alone suggest $AFRM is oversold(daily) and at trend base however i am not sure if those trends matter as they where formed pre august 2021 when volume initially picked up so they will likely break easily
TLDR this is a bad company
$AFRM - Reversion to Trendline SupportHigh chance $AFRM falls down to the trendline support over the coming days, maybe even lower as it looks to fill the gap.
Take note of the volume shelf underneath! Once the bleeding stops I'm willing to bet we stop around 65 or 70 allowing us to load a long position into earnings!
Bulls will get paid later?AFRM nasty action if you are long side. What i am seeing is continued blood potentially for AFRM. Due to low RSI we can see a pump to retest 87.46 area a break above it sets a neutral sentiment. A rejection at that level will bleed us back to the support zone thats building at the 80.00 level. A break there will send us to last tested support which would be 67.82