Traders,
I hope you all had a wonderful long weekend and holiday!
Let’s get right into some of my top ideas for the upcoming week:
Continuation / Further Build in Bitcoin (IBIT)
Starting with Bitcoin. After the bull flag’s resistance was taken out last week, I would have liked to have seen better continuation. However, Bitcoin is still holding up well at the time of writing this. So, going forward, as I outlined in my previous IA meeting, I’d like to see it continue to build in the upper portion of its consolidation.
What would help me gain confidence and become aggressive in the swing? If Bitcoin can continue to hold above the $ 108k area and consolidate. If that action is followed by a push above last week’s high, near the 110k area, I’d look to position for the breakout multi-day / week swing.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.
If the breakout in the coming days is confirmed, I’d look to hold a core position for a medium-term swing trade, as long as we don’t break back into the range or hold below the previous day’s low. As I mentioned in my previous IA meeting, I’m also watching Ethereum closely, and specifically watching several of the ETH ETFs as trading vehicles.
Continuation in Cyber
The cybersecurity industry continues to be one of the leaders within the technology sector.. FTNT specifically is looking promising to me. I especially like how the name has consolidated for multiple months in a tight range above all key moving averages. While it has lagged behind several leading names within the industry, it still presents a favorable technical setup.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.
So, what’s my plan? If the name can display some relative strength to the industry, and push above last week’s high, I’d look to position long for a swing trade. Specifically, I want to see it not only surpass the previous week’s high, but it would also need to hold above $106 to prove a change of character and breakout. We’ve seen a lot of false breakouts out of bases lately, so I would be okay with being a bit later than early and progressively sizing in once it proves correct. I’d have a LOD stop in this situation.
Momentum Long in COIN
A lovely daily chart in COIN, with a significant amount of momentum in the previous weeks. Last week, COIN had a sustainable pullback toward its 10-day SMA and found support on Thursday / Friday. For a long trade, and potentially multi-day trade targeting a move toward the $382 high, I’d like to see a higher low against Friday’s action, and push above Friday’s high for entry against the LOD.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.
Here’s some additional names on watch for the upcoming week, along with some commentary surrounding a couple of popular in-play names lately:
I don’t have a lot of conviction in specific ideas for the upcoming week. In general, I need to see a multitude of ideas and setups continue to form, such as the Bitcoin example. With the market a bit stretched and rotation ensuing, I’m more inclined to be selective and double down on intraday trading whilst swing ideas continue to form.
Momentum in Quantum: QUBT, QBTS, IONQ, and RGTI have all held up exceptionally well and ticked higher over the previous couple of days. Monitoring the sector for potential intraday momentum in the coming days, if they continue to build and near breakout levels.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.
General Thoughts on TSLA: I’ve got a lot of questions about Tesla in recent IA meetings. From an intraday perspective, it remains a great trading vehicle around key levels. But from a long swing trading perspective, I have no interest in a position in Tesla until it can reclaim its 10 and 20-day SMA and base for a few days. Momentum for the time being is gone, and it’s 50.50 right now. So, until it reclaims its 10 and 20-day SMA, I won’t be looking for a long swing there.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.
Consolidation Breakout in INOD: Nothing that I’m looking to take action on immediately. However, with a steady multi-month advance and small and mid-caps recently breaking out, I have alerts set for a possible breakout above $ 52 for continuation in the coming days to weeks.
*Please note that the prices and other statistics on this page are hypothetical, and do not reflect the impact, if any, of certain market factors such as liquidity, slippage and commissions.