06/03/2022 Watchlist Chart
Watchlist for Friday, 06/03/2022
On Thursday, $SPY gave up the 410 support and landed in the 405-408 support range mentioned in the past, proceeding to quickly bounce back to head towards the 419-420 resistance. Before the close, We mentioned that the MOC imbalance was $507M to the buy-side. Markets proceeded to rally into the close. Markets are currently bullish, but some caution is still advised with SPY net premiums continuing to fall, currently being at -$326.21M.
$ES (Futures) – Pivot: 4140 | Levels Above: 4168/4200/4240/4300 | Levels Below: 4105/4090/4050/4000
$AMZN – The stock traded up 3.15% during market hours and was up 1.07% after hours. Strong move by AMZN this week heading into their stock split on Monday (06/06). There was notable flow into the ITM 2350C 6/3 expiring tomorrow. On the daily timeframe, there is still a gap to be filled around 2715 (also the 50DMA). Keep an eye on the 2541.19 (200WMA) level, if AMZN can break above with volume, it can test 2570 to 2600 level resistance. Above the 2600 level, it can test 2630 to 2670 to 2715. We will consider puts if AMZN fails to hold above the 2500 level, as it can pull back down to 2465 to 2420 to 2400 level support. Below that can drop down to 2370 to 2330 to 2300 level support.
Contract Suggestion:
Above 2540 level: 2600C 06/03 (26.1K Volume @ 4.45)
Below 2500 level: 2450P 06/03 (5.1k Volume @ 8.75)
$TSLA – The stock traded up 4.68% during market hours and was up 1.06% after hours. On the daily timeframe, TSLA is setting up for a break out above 786, as it’s been consolidating in a tight range. There was notable flow into the ITM 700C and 750C 06/10 that came in on Thursday, with a bit of bullish divergence into the close. Net premiums are currently +$59.97M. On the weekly, TSLA has been forming a long-legged doji heading into the next week if it closes under 800 after a big reversal the previous week. Keep an eye on the 786 level, if TSLA can break above this level, it can test 800 to 820 level resistance. Above 820 level, it can test 844-850 resistance. Above 850 can test 860/900 resistance. Consider puts if TSLA fails to hold above the 770 level, as it can pull back down to 750 to 744 (strong support). Below that can drop down to 730 to 714 to 700 level support (strong).
Contract Suggestion:
Above 786 level: 800C 06/03 (124.5K Volume @ 4.40)
Below 770 level: 750P 06/03 (49.1K Volume @ 4.40)
$JPM – The stock traded up 1.61% during market hours and was up 0.14% after hours. Interesting flow into the (ITM) 140P 12/16 that came in during Thursday’s trading sessions, as well as some bearish activity with XLF (financial sector). We see a small consolidation on the daily timeframe on JPM but volume tapering off the past three days. The weekly timeframe shows a small resting candle so caution is advised for bears. It may be a longer swing with QT just starting. Keep an eye on the 133 or back test 130 level, as it can test 137 to 141 level resistance. We will consider puts if JPM fails to hold above the 130 level, as it can pull back down to 127 to 125 (200DMA) support. Below that can drop down to 118 to 115 level support.
Contract Suggestion:
Above 133 or B/T 130 level: 135C 06/10 (937 Volume @ 0.76)
Below 130 level: 129P 06/10 (131 Volume @ 1.06)
***NEWS TO LOOK OUT FOR THIS WEEK***
- Non-Farm Payroll on Friday (06/03) at 5:30 am PST/8:30 am EST