03/15/2022 Watchlist Chart
Watchlist for Tuesday, 03/15/2022
$MRNA – The stock traded up 8.59% during market hours and was up 1.95% after hours. During Monday’s trading session, vaccine news was popping after China informed another wave of the coronavirus in central China which caused a few cities to experience a lockdown. On the daily timeframe, MRNA attempted to break out of the falling wedge but met heavy resistance at the 50DMA (168.80). If we continue to see more news on further lockdown in China, MRNA is set for a larger move higher this week. Keep an eye on the 153 level, if MRNA can break above with volume, it can test 166 (near 50DMA) to 177 level resistance. Above 177 level, it can test 186 to 193 level resistance. We will consider puts if MRNA fails to hold above the 146 level, as it can pull back down to 141 (9DMA) to 135 level support.
Contract Suggestion:
Above 153 level: 160C 03/18 (11.8K Volume @3.35)
Below 146 level: 140P 03/18 (7.9K Volume @3.40) – Wide Spread
$MSFT – The stock fell 1.30% during market hours but was up 0.56% after hours. On the daily timeframe, MSFT has been trading within an overall falling wedge but continues to find rejection at the top trend-line of the pattern. The daily RSI was showing a bullish divergence where MSFT was making lower lows but RSI was making higher lows. Unfortunately, the daily moving averages continue to curl lower with the 9DMA (284.28) acting as a dynamic resistance so far. Depending on how the market fairs with FOMC and OPEX this week, MSFT has a chance to test the lower trend-line before a possible bounce there again, but we also see a possible death cross on the daily timeframe. Keep an eye on the 275 (LOD on Monday), as it can test 273 to 270 level support. Below 270 level, it can test 266 to 263 level support. We will consider calls if MSFT breaks above 279 level, as it can test 281 to 284 (9DMA) level resistance. Above that can test 286 to 290 level resistance.
Contract Suggestion:
Above 279 level: 282.5C 03/18 (2.7K Volume @2.70) or 285C 03/18 (6.1K Volume @1.96)
Below 275 level: 270P 03/18 (7.1K Volume @3.05)
$FB – The stock fell 0.52% during market hours but was up 0.60% after hours. On the daily timeframe, FB continues to show relative weakness compared to the overall market despite a small bullish RSI divergence on the daily timeframe. FB attempted to find a bottom at the 190 level but continues to lack the volume to hold it above as evidenced by below-average volume at that level. If we see NQ/QQQ pull back, FB would be the prime target for puts. Keep an eye on the 186 level (LOD on 03/08), if FB fails to hold above this level, it can test 182 to 175 level support. Below that can test 168 to 160 level support. We would consider calls if FB can break above 190 level, as it can test 194 (9DMA) to 200 level resistance. Above 200 can test 207 to 215 (break out level) resistance.
Contract Suggestion:
Above 190 level: 195C 03/18 (10.9K Volume @1.47)
Below 186 level: 180P 03/18 (9.8K Volume @2.15)
****NEWS TO LOOK OUT FOR THIS WEEK****
- Producer Price Index (PPI) for February 2022 on Tuesday (03/15) at 5:30 am PST/8:30 am EST
- FOMC announcement on fed funds rates on Wednesday (03/16) at 11 am PST/2 pm EST with Jerome Powell speaking 30 minutes after at 11:30 am PST/2:30 pm EST
- Unemployment Claims data on Thursday (03/17) at 5:30 am PST/8:30 am EST
OPEX on Friday (03/18)