10/28/2021 Watchlist Chart
Watchlist for 10/28/2021
$MSFT – The stock traded up 4.21% during market hours and was up 0.16% after hours. After reporting solid earnings,
MSFT gapped up and managed to close a strong bullish candle. MSFT made a new all time high and the daily MACD and RSI still shows some juice to make new highs before a larger pullback and gap fill. Keep an eye on the 325 level, if MSFT can break above with volume, it can test 330 to 334 level resistance. We will consider puts if MSFT fails to hold above the 322 level, as it can pullback down to 320 to gap fill down to 313 level support.
Contract Suggestion:
Above 325 level: 327.5C 10/29 (24.8K Volume @0.85)
Below 322 level: 320P 10/29 (17.4K Volume @1.00)
$AFRM – The stock fell 0.47% during market hours but was up 2.69% after hours. AFRM popped after hours from the
earnings report from LC. On the daily timeframe, AFRM was consolidating between 147 to 166 level after a huge break out from the daily falling wedge. AFRM needed time to digest the move for a potential move higher. Keep an eye on the 156 level or back test 154 level, as it can test 159 to 162 level resistance. Above 166 level, it can test 170 to 173 level resistance. We will consider puts if AFRM fails to hold above the 154 level, as it can pullback down to 152 to 147 level support.
Contract Suggestion:
Above 156 level or back test 154 level: 160C 10/29 (21.1K Volume @1.35)
Below 154 level: 150P 10/29 (1.9K Volume @3.40)
$TSLA – The stock traded up 1.91% during market hours and was up 2.32% after hours. After market closed, TSLA received a price upgrade from Pipier Sandler from $1200 to $1300 and kept a buy rating on it. Interesting move as TSLA was showing relative strength compared to the overall market and was leaning bearish into close. Considering the after-hours price, keep an eye on the 1065 level, if TSLA can break above with volume, it can test 1077 to 1091 level resistance. Above 1091 level, it can test 1100 level which set off another squeeze to 1150 again. The best entry would be if TSLA can back test 1051 level before this move. We will consider puts if TSLA fails to hold above the 1051 level, as it can pullback down to 1045 to 1021 level support.
Contract Suggestion:
Above 1065 level: 1100C 10/29 (152.3K Volume @4.05)
Below 1051 level: 1000P 10/29 (87.5K Volume @6.00)
$SPOT – The stock traded up 8.30% during market hours but was down 0.08% after hours. SPOT reported strong results for their Q3 with their ad business margins improving. SPOT also received a upgrade from Pivotal Research from $300 to $385 as well. On the daily timeframe, SPOT broke above the wedge from earnings report, re-tested and held the 200DMa (261.99) and close a somewhat bullish candle/ long legged doji. On the weekly timeframe, its also shows a strong break out of the wedge and holding above the weekly 50 MA (271.13) is key for a leg higher into the 300 level. Keep an eye on the 276 level, if SPOT can break above with volume, it can test 282 to 285 level resistance. Above 285 level, it can test 291 to 300 level resistance (hard resistance). We will consider puts if SPOT fails to hold above the 271 level, as it can pullback down to 267 to 262 (200DMA) level support.
Contract Suggestion:
Above 276 level: 280C 10/29 (5.9K Volume @1.10)
Below 271 level: 265P 10/29 (390 Volume @1.05)
***NEWS TO LOOK OUT FOR THIS WEEK***
- Unemployment claims data on Thursday (10/28) at 5:30 am PST/8:30am EST