So using this information I applied it to my chart analysis on INTC. I marked out the prior month and week highs/lows. The big gap down from earnings took out the prior week low and pushed it all the way to an AVWAP. Avwap set to pivot reversal candle 10/27/23. Price is now at support with avwap, and outside the bottom bollinger band, and sitting in an area of daily demand (candle 12/23/23) that hasn’t been touched yet. I went long with a $45 call exp 2/23. If you get the chance check it out lmk what you think, if there’s anything you’d do
I see what you're seeing, AVWAP could be nice support. I would like to see a bounce from here, shares could continue to drop. I would watch 42 for support because of a small volume shelf at this price level. But if you get the bounce, I like continued upside from there, potentially filling the gap. Good luck!
Thank you for this article. This information is priceless. This is actually my first trade plan I’ve ever written down and just having this in hand I feel more confident going into the markets with an actual PLAN knowing what to look for and forming a base to go off of, instead of eyeballing it. The explanations and breakdowns with the charts *chefs kiss*. Sincerely Thank you!
Hey Nate - curious how you would have handled Friday?
I found it difficult to find an entry b/c of the gap down. I didn't want to chase. The rising wedge around lunch time threw me off as I was expecting a reversal.
Hey Andrew! Friday was not easy, I agree. Here's how I saw it...
The gap down below the prior day's low and two day prior's highs never recovered above those levels and the bears took over.
The rising wedge didn't seem to form off of any support level, but instead formed up into Wednesday's lows around 445.08, which is where the 9 EMA also showed up as well. The price action stalled out for about 30 minutes when it hit this level whcih signaled a decent entry for a short position.
It is easier to say all of this after the fact, but hopefully that detail helps point out what I look for.
So using this information I applied it to my chart analysis on INTC. I marked out the prior month and week highs/lows. The big gap down from earnings took out the prior week low and pushed it all the way to an AVWAP. Avwap set to pivot reversal candle 10/27/23. Price is now at support with avwap, and outside the bottom bollinger band, and sitting in an area of daily demand (candle 12/23/23) that hasn’t been touched yet. I went long with a $45 call exp 2/23. If you get the chance check it out lmk what you think, if there’s anything you’d do
I see what you're seeing, AVWAP could be nice support. I would like to see a bounce from here, shares could continue to drop. I would watch 42 for support because of a small volume shelf at this price level. But if you get the bounce, I like continued upside from there, potentially filling the gap. Good luck!
Thank you for this article. This information is priceless. This is actually my first trade plan I’ve ever written down and just having this in hand I feel more confident going into the markets with an actual PLAN knowing what to look for and forming a base to go off of, instead of eyeballing it. The explanations and breakdowns with the charts *chefs kiss*. Sincerely Thank you!
Thats exactly what this is all about! Really happy you're finding the information helpful. Confidence is key! Best of luck this week!
Hey Nate - curious how you would have handled Friday?
I found it difficult to find an entry b/c of the gap down. I didn't want to chase. The rising wedge around lunch time threw me off as I was expecting a reversal.
Anyway I appreciate your breakdowns.
Hey Andrew! Friday was not easy, I agree. Here's how I saw it...
The gap down below the prior day's low and two day prior's highs never recovered above those levels and the bears took over.
The rising wedge didn't seem to form off of any support level, but instead formed up into Wednesday's lows around 445.08, which is where the 9 EMA also showed up as well. The price action stalled out for about 30 minutes when it hit this level whcih signaled a decent entry for a short position.
It is easier to say all of this after the fact, but hopefully that detail helps point out what I look for.
Thanks for reading and for the great question!
Perfectly clear. Ty! Good strategy 👍
Excellent! Appreciate the feedback.