SMH trade ideas
SMH Short Thesis The Next MonthI'm not currently short the semis but upon doing some research I found a nice setup thesis. Similar weekly candles. I see the previous time SMH found it's low about 15.7% down from that weekly candle close after 29 days. If you use the same 15% calculation after 28/29 days, it brings you to the 23% fibonacci level at $120.
This is only a theory at this point and I'll continue to do some digging on it. But it looks ripe for a give back leading up to earnings or after earnings. I'm going to look for a put spread entry on Monday.
Good luck - and as always, don't trade based on my opinions or hypotheses.
SMH
SMH - Short-term BearishTRADING ACTIVE
Chart Details
SMH had sell signal on Daily yesterday.
I entered trade but did not post. Waited for trend dots to confirm.
Trend dots confirmed bearish trend very end of day.
Gaps to fill below down to $111.
Weekly RSI trend is about to breakdown.
Daily trend dots confirmed bearish trend.
I will post a Weekly view chart for SMH when trend confirms Bearish weekly view.
Entry Options
I am entered in the Jan 17. Expiry, 140/145 Call Credit Spread (Bearish bias). $2.48 Credit received. This trade assumes both 140 & 145 Calls will expire worthless with SMH below $140 by Jan 17. Total credit is kept as profit. Max gain and max loss both approximately $250. Average POP around 65%. Not the best.
About Me
Thank you for liking, commenting, throwing up a chart, following, or viewing.
I am not a financial advisor. My comments and reviews are based on what I do with my personal accounts.
I am transitioning to my new website www.moneypatterns.com. Same guy - new name. :)
Website will be ready for launch mid-January 2020. Thank you for your patience while I try to juggle everything and maintain the same standards.
Disclosure - I am long BTCUSD, GBTC.
Short term - GDX Bullish, SPXS Bullish, SMH Bearish
$SMH SHORT AT 142.5 TARGETING 135 AND 128 BEARISH Bearish candlesticks pattern with negative RSI and overbought MFI
