Recap: Sabato's Market Watchlist 9/13-9/17
Welcome back everyone! We had another great week at True Trade this week! This watchlist went 3 for 4 on the main watchlist and 1 for 2 on the bonus plays! We were back to a full week of trading with Labor Day behind us. Our members made some great profits again this week. Hope you caught some off the watchlist, too! Check out the watchlist here.
In this recap, I will get into some further detail about why I picked last week's trades and how they did.
If you want to skip down to a certain play, click the corresponding link: $BA, $FB, $NVDA, $PTON. Bonus plays: $TSLA, $BIDU.
1. Boeing: $BA
Why I picked this trade:
$BA has strong resistance in the $223 area, and still hasn't broken it. BA has also held the $211 area as support.
Here's what happened:
$BA ranged between these levels all week
There were some opportunities for scalps off the $211 area of support
30 min chart:
Daily chart as of 9/17/21:
How I would execute the trade:
I would wait for a retest of support. If support held, I would favor calls off this support. This would be a quick play due to market conditions and the ranging of the stock, indicating a probable rejection at resistance. Since the market has been in a bit of a pull back, a break below support would indicate a further move downward. In this situation (which didn't happen), a 30 min close below support may indicate further downside for an intraday trade.
How it played out:
My plan for a breakout was void. Scalping calls off support and puts off resistance (intraday) would have been profitable.
2. Facebook: $FB
Why I picked this trade:
$FB was making higher highs and approaching all time highs again. I liked new highs in its sights.
Here's what happened:
$FB rejected it's open from Friday and never recovered all week
We broke below the uptrend and support, prompting a good set up for puts
Daily chart:
30 minute chart:
How I would execute the trade:
Once $FB dropped closed below uptrend on a daily, I would favor puts for the next day on a retest of support turned resistance . In this case, that happened overnight off $379.53. Break below 374.3 would be further confirmation/entry for shorts (puts).
How it played out:
$FB broke support and uptrend, prompting puts for the win.
3. Nvidia: $NVDA
Why I picked this trade:
We have been consolidating lately... I liked longs on break of new highs and shorts on break of $221.4 area.
Here's what happened:
$NVDA ranged then finally closed below $221.4 on Friday. Throughout the week, we got under $221.4 on several occasions, presenting scalp opportunities.
We also had a huge rejection of the top of the range on Monday.
Daily Chart:
30 min chart:
How I would execute the trade:
Once we saw the bearish nature of $NVDA this week, I'd look for shorts off $224 area down into $221 area. You could also wait for the break of $221.4 and enter puts on a retrace to $221.4 area.
How it played out:
Shorts paid off upper support and then also off $224.
4.Peloton: $PTON
Why I picked this trade:
$PTON has had a great latter part of the week the previous week. Looking for a continuation above 200 SMA around $119.4. Last time we reclaimed this, we had a nice pop the day or two after.
Here's what happened:
$PTON rejected that $119 area and did not continue upwards.
Daily chart:
30 minute chart:
