03/02/2022 Watchlist Chart
Watchlist for Wednesday, 03/02/2022
$HD – the stock traded up 1.40% during market hours and was up 0.32% after hours. On the daily timeframe, HD was showing relative strength compared to the overall market and was one of the few stocks that closed green in a sea of red. Currently, HD continues to find some resistance near the 9DMA (325.60) but some buyers stepping up near that 315 level. Looking at the daily volume, we continue to see a decrease in the daily volume despite the stock moving higher. This gives an indication of a possible dead cat bounce if it fails to close above that 9DMA. Keep an eye on the 322 level (HOD on Tuesday), as it can test 324 to 329 level resistance. Above 329 level, it can test 332 (14DMA) to 337 level resistance. We will consider puts if HD fails to hold above the 315 level, as it can pull back down to 307 to 300 level support.
Contract Suggestion:
Above 322 level: 325C 03/04 (811 Volume @3.00)
Below 315 level: 310P 03/04 (775 Volume @1.96)
$AAPL – The stock fell 1.16% during market hours but was up 0.33% after hours. On the daily timeframe, AAPL continues to show indecision as its chopping near the 100DMA (163.39) and the lower wedge trend-line. AAPL continues to find resistance on both the 9DMA and 14DMA which high rejections during Tuesday’s trading sessions. Just like yesterday’s watchlist, once you can see MSFT and AAPL makes a move, it gives an indication if tech is stronger or weaker from what I’ve noticed these past few months. Keep an eye on the 163 level, if AAPL can hold above this level, it can test 165 to 168 level resistance. We will consider puts if AAPL fails to hold above the 163 level, as it can pull back down to 162 (lower wedge trend-line) to 160 level support.
Contract Suggestion:
Above 163 level: 165C 03/04 (88.8K Volume @1.37)
Below 163 level: 160P 03/04 @ (51.2K Volume @1.29)
$MU – The stock fell 2.93% during market hours but was up 0.50% after hours. On the 1hr timeframe, Mu has been trading in a small wedge and continues to find support on the lower trend-line as a bounce zone. On the daily timeframe, MU has the 50DMA (89.22) as a dynamic resistance and would be bullish if it can break above because that would mean it would break out of the daily wedge. Keep an eye on the 87 levels, if MU can break above with volume, it can test 89 (50DMA) to 93 level resistance. Above 93 levels, it can test 96 (all-time high) which is a hard resistance as it has been rejected multiple times thus far. We will consider puts if MU fails to hold above the 86 level, as it can pull back down to 84 (LOD on Tuesday) to 83 level support (near the 100DMA).
Contract Suggestion:
Above 87 level: 88C 03/04 (1.5K Volume @1.29)
Below 86 level: 85P 03/04 (1.5K Volume @1.58)
$AMD – The stock fell 7.71% during market hours but was up 0.54% after hours. On the daily timeframe, AMD had another failed break out again after attempting to hold above the daily downtrend line. AMD has been finding some support at the 200DMA (113.37) but it is looking like a fake breakout with this market volatility. Keep an eye on the 113 level (200DMA), if AMD fails to hold above this level, it can test 110 to 106 level support. We will consider calls if AMD can break above 114 level, as it can test 116 to 118 (previous break out level) resistance.
Contract Suggestion:
Above 114 level: 115C 03/04 (12.9K Volume @2.59)
Below 113 level: 110P 03/04 (25.8K Volume @1.76)
***NEWS TO LOOK OUT FOR THIS WEEK***
- Fed Chairman Jerome Powell Testifies at House Committee on Wednesday (03/02) at 7 am PST/10 am EST Unemployment
- Claims Data on Thursday (03/03) at 5:30 am EST/8:30 am EST
- Fed Chairman Jerome Powell Testifies at Senate Committee on Thursday (03/03) at 7 am PST/10 am EST
- Non-farm Payroll for February 2022 on Friday (03/04) at 5:30 am PST/8:30 am EST