Market Notes:
This morning futures are down and the crypto slide continues. So everyone is looking for a reason…
But there isn’t one. No new news this morning or last night. It’s just how the market works. There are dips and spikes. If you were waiting for a pullback to buy something today could provide the opportunity.
As the markets near all-time highs, there is technical resistance overhead. Expect some ups and downs. Rember Santa comes at the end of the month.
On the crypto front, things are less certain. When the markets dipped it caused some margin calls. Risky positions had to be liquidated. This and the threat of regulation are weighing on the crypto markets … which have lost nearly $1 trillion in market cap since just last month.
I remain a long-term Bitcoin bull but I’m not certain we will have a strong bull run into the end of the year. Just don’t count it out either.
I’m bullish and risk on. See below for a stock I’m extra excited about today…
Watchlist:
*ISIG is on watch
*PPSI has support at $10, resistance at $12
PEAR has support at $13
CFVI has resistance at $15
PLIN is on watch
FLL has resistance at $12
PLAB is on watch
LWLG has support at $17.50
AABB is on OTC, I don’t list levels on these stocks, but worth watching
CHWY see my notes below…
Chewy, Inc. (CHWY) reports earnings after the closing bell today. I bought out of the money calls in case we get a big surprise … Here’s why I believe it could be a big winner…
- There is a clear double bottom on the chart ahead of the earnings call.
- Short interest in the stock is high, 20% of the float. 15-20 million shares are currently sold short.
- A recent downgrade from Wedbush puts the price at $70, a ~16% upside to yesterday’s closing price
- Marketwatch dropped a puff “opinion” piece that pumps the stock up.
- The stock could easily become a meme stock. Ryan Cohen, the chairman of Gamestop (GME) founded the company.
- Online sales surged for every industry during the pandemic. The market is overestimating people’s desire to shop at retail locations … Today’s consumers want convenience above all else.
- I like the stock