How to Use the 200 Day Moving Average
Sami Abusaad | Black Room LessonsThe 200ma is the granddaddy of all moving averages. As such, stocks that gap just above the (flat) 200ma, regardless of the quality of the gap, generally get bought.Gaps below a 200ma usually get sold. Similarly, a multi bar drop into a 200ma often stops the stock dead in its tracks. One other thing to remember is that while the 20ma is most powerful when it’s trending, the 200ma is most powerful when it’s flat.
Continue Reading -->Options in Play: Google’s Big Ramp
Options in PlayOptions Trades with Daniel DarrowToday’s video is going to talk about a developing set up in GOOGL. The momentum Tech name hasn’t had much interest the past couple weeks but it’s entering ramp into the report territory.Dan Darrow’s positions at time of publication:
Continue Reading -->Scott Redler: Tracking Big Tech Red Dog Reversals
Let’s take a fresh look at the action in tech. Yesterday, the QQQ’s got hit early but held the 50 day with a low at $181.30. It rallied and went green to outperform yesterday, which was good to see. As long as the 50 day holds, it is hard to get too bearish here. Let’s drill down to some individual names, starting with Nvidia (NVDA). Yesterday, there was a nice Red Dog Reversal buy signal around the $262.11 pivot. It also reclaimed the 50 day to close on the highs of the day. I’d probably look to trim it into the $270 area if I was long, but it has a little more room to $273.We saw a similar move in Amazon (AMZN). It sliced the 50 day fast at $1894 before reclaiming it. I’m looking to trim some this morning and hold some because there is a chance it gets better and resolves the range higher. But it really needs a high volume close above $1957 for that.Now let’s turn to Apple (AAPL). It started on the weaker side yesterday but reclaimed $217.29 pretty fast. I bought some lower yesterday. Now we’ll see if we can actually add higher. It would be good for tech if it can get above $222.50 and hold above it.Netflix (NFLX) as kind of an odd-looking inverse head & shoulders pattern. It reclaimed the 8/21 day yesterday to get me long. Now it would be healthy to clear $377 for upside. But for that to happen, it needs to get and stay above $373.64 first.Positions Disclosure: As of September 25, 2018 at 10:54 a.m. ET, Scott J. Redler is long FEYE, CGC, FB, BAC, NFLX, XLE, AMZN, IBM calls, GWPH calls
Continue Reading -->My Swing Trade Game Plan for This Week
Sami Abusaad | Black Room LessonsGet Sami Abusaad’s Swing Trade Game Plan for September 24 – 28.See what trades Sami is targeting, and why.
Continue Reading -->Don’t Sleep on the 3D Printing Stocks
Options in PlayOptions Trades with Daniel DarrowToday’s video is going to talk about the 3D printing names.Recent pauses/pull backs after earnings could set up better action going forward.
Continue Reading -->The Cannabis Stock Crazy From an Options Point of View
Options in PlayOptions Trades with Daniel DarrowToday’s video is about the Cannabis craze. TLRY may be getting all the attention but there may be better opportunities in other names.
Continue Reading -->Options Case Study: Chipotle’s IV Crunch
Options in PlayOptions Trades with Daniel DarrowToday’s video is going to talk about a fresh trade idea for the week in RHT. After slipping up in June, the stock fits the bill for a bounce back quarter so I will go over the trade idea.
Continue Reading -->My Favorite Gap Patterns
Sami Abusaad | Black Room Lessons“Go where the oil is” is a saying that means go where the action is. In trading, Gaps create momentum, which is where all the action is. Today, I discuss the four type of professional gaps I like to focus on.
Continue Reading -->How to Scan Stocks for Actionable Patterns Part 4
Ryan Tonking | Black Room LessonsI often get asked how to find stock patterns. With over 1000 stocks in my day trading universe of possible patterns, it’s impossible to catch every pattern as a discretionary trader, but missing out on a bunch of nice patterns doesn’t work either. Having a scanning routine at certain times of the day helps me narrow down my universe list to a basket of stocks that will most likely give me a pattern. This is more manageable to work with and frees me up to focus on the best stuff of the day. This part 4 of a 4-part series. (click here to start with Part 1)
Continue Reading -->Options in Play: Breaking Down a ‘Bounce Back Quarter’
Options in PlayOptions Trades with Daniel DarrowToday’s video is going to talk about a fresh trade idea for the week in RHT. After slipping up in June, the stock fits the bill for a bounce back quarter so I will go over the trade idea.
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