05/13/2022 Watchlist Chart
Watchlist for Friday, 05/13/2022
On Thursday, $SPY fell to the 385 support and bounced back, reclaiming that important 392 support We mentioned on Wednesday. We reiterated before closing that we are healthy/bullish above that. Futures are now currently up 1% after hours!
$ES (Futures) – Pivot: 3950 | Levels Above: 3980/4000/4040 | Levels Below: 3913/3872/3855
$TSLA – The stock fell 0.82% during market hours but was up 1.92% after hours. On the daily timeframe, we see a double bottom forming near the 700 level which was the previous bounce level back in February 2022. TSLA was showing relative strength as it was intraday and starting to see TSLA trying to bottom near this level. We would need to see a string of bullish candles before we can call this a short-term bottom not just 1 day of green. On the 1hr timeframe, TSLA is attempting to break out of the flag, and with futures up over 1%, we can see a nice gap up into tomorrow. Keep an eye on the 730 level, if TSLA can break above with volume, it can test 744 to 750 level resistance. Above 750 level, it can test 770 to 786 (hard resistance). Above 786 level, it can test 800 to 820 (near 9DMA) level resistance. We will consider puts if TSLA fails to hold above the 714 level, as it can pull back down to 700 to 686 level support. Below that can drop down to 675 to 660 level support. Under that can see 644 to 630 level support.
Contract Suggestion:
Above 730 level: 770C 05/13 (23.3K Volume @ 2.90) or 780C 05/13 (20.4K Volume @ 1.72)
Below 714 level: 700P 05/13 (96.8K Volume @ 6.30)
$AMZN – The stock traded up 1.48% during market hours and was up 0.72% after hours. On the daily timeframe, AMZN continues to find rejection near the 2200 level which was the previous rejection level the day before. Interesting enough, there was some unusual flow in the 2200C weeklies that came in near EOD. With NQ futures up over 1%, there’s a high chance it can open near the 2200 level and we may see a nice relief bounce or continuation on Friday. Hoping it’s another short the pop again that has been happening for the past few weeks. The weekly timeframe is still bearish unless it can close above 2230/2280 level to form a pin bar. Keep an eye on the 2200 level, if AMZN can break above with volume, it can test 2257 to 2300 level (near 9DMA). Above 2300 level, it can test 2330 to 2400 level resistance. We will consider puts if AMZN fails to hold above the 2125 level, as it can pull back down to 2100 to 2095 level support. Below that can drop down to 2040 to 2000 level support.
Contract Suggestion:
Above 2200 level: 2250C 05/13 (6.9K Volume @ 3.60) or 2300C 05/13 (11.1K Volume @ 1.18)
Below 2125 level: 2050P 05/13 (13.1K Volume @ 6.45)
$TWTR – The stock fell 2.19% during market hours but was up 1.04% after hours. On the daily timeframe, TWTR has found the 50DMA (42.93) as a support, but it closed a doji, which shows indecision. The flow continues to be bearish for the past week, likely due to the ongoing Musk drama. TWTR still has a gap to be filled from 43 down to 40 level from the gap up in early April 2022. Keep an eye on the 47 or backtest 45 levels, as it can test 50 (near 200DMA) to 53-level resistance. We will consider puts if TWTR fails to hold above the 45 levels, as it can pull back down to 43 (near 50DMA) to 40-level support (gap filled). We believe the flow is playing this gap fill as well.
Contract Suggestion:
(Call/Put Ratio: 0.13)
Above 47 or B/T 45 level: 48C 05/20 (8.6K Volume @ 0.34)
Below 45 level: 43P 05/20 (4.8K Volume @ 0.78)