10/19/2021 Watchlist Chart
Watchlist for 10/19/2021
$NFLX – The stock traded up 1.54% during market hours and was up 0.12% after hours. NFLX reports earnings on Tuesday (10/19) after market close and the market is already priced in a 6% move in either direction. Currently on the daily timeframe, NFLX broke out of the falling wedge and closed a strong bullish pin bar after testing and holding above the 524 level support. Keep an eye on the 640 level, if NFLX can break above with volume, it can test 645 to 647 (ATH). Above 647, can test 650 to 652 level resistance. Above that can test 660 to 665 level resistance. We will consider puts if NFLX fails to hold above the 635 level, as it can test 633 to 624 level support. I would treat this as a DT on Tuesday for a possible run up into ER.
Contract Suggestion:
Above 540 level: 670C 10/22 (2.3K Volume @7.05)
Below 635 level 600P 10/22 (2.5K Volume 24.05)
$FB – The stock traded up 3.26% during market hours and was up 0.26% after hours. Strong break out on the daily from the falling wedge and closed a strong bullish candle. SNAP reports earnings on Thursday (10/21) after market closes and FB can be a great sympathy play with their ER next Thursday. The daily MACD also flipped green with RSI bouncing towards 50 soon. Keep an eye on the 338 level or back test 335 level, as it can test 340 to 342 level resistance. Above 342 can test 346 to 348 level resistance. We will consider puts if FB fails to hold above the 335 level, as it can pullback down to 333 to 330 level support,
Contract Suggestion:
Above 338 level or back test 335 level: 340C 10/22 (43.7% Volume 22.53)
Below 335 level: 330P 10/22 (9.4K Volume 22.35)
$CHWY – The stock traded up 3.75% during market hours and was up 0.14% after hours. Strong move by CHWY after testing and holding above the 62 level multiple times on the daily timeframe. It finally managed to break out of the falling wedge and close near high of the day, Monday’s move indicates a strong reversal as this break out was accompanied by above average volume and out of the oversold zone on the RSI. Keep an eye on the 66 level, if CHWY can break above with volume, it can test 69 to 71 level resistance. Above 71 level, it can test 75 to 77 level resistance (5ODMA). We will consider puts if CHWY fails to hold above the 64 level (9MA), as it can pullback down to 62 to 60 level support.
Contract Suggestion:
Above 66 level: 67C 10/29 (900 Volume @1.54) or 70C 11/19 (3.9K Volume @1.73)
Below 64 level: 63.5P 10/22 (1.8K Volume 00.44)
$SQ – The stock traded up 1.29% during market hours but was down 0.04% after hours SQ managed to fill the gap from the previous gap up and closed a strong bullish engulfing candle. Once it can get over the SODMA (255.56), it can re-test the high 60s again. Keep an eye on the 255 level or back test 251 level, as it can test 258 to 262 level resistance. We will consider puts it SQ fails to hold above the 251 level, as it can pullback down to 248 to 244 level support
Contract Suggestion:
Above 255 level: 260C 10/22 (9.6 Volume @1.54)
Below 251 level: 245P 10/22 (1.9K Volume 21.55)
$U – The stock traded up 3.55% during market hours but was fiat after hours. On the daily timeframe, U broke out from the cup and handle patter and closed near high of the day. It managed to complete the gap fill from the previous gap down back in February from their earnings report. With the new game release and holidays coming soon, U and similar gaming stocks like ATVI, are sure to be on the move. On the weekly timeframe, we also see the cup and handle break out as well. Keep an eye on the 147 level, if u can break above with volume, it can test 151 to 160 level resistance. We will consider puts if U fails to hold above the 144 level, as it can pullback down to 139 to 134 level support.
Contract Suggestion:
Above 147 level: 160C 11/19 (950 Volume @3.90) or 170C 11/19 (1K Volume 1.95)
Below 144 level: 125P 11/19 (116 Volume @4.70)