Today’s watchlist: $DKS, $FUV, $HBI, $KALA, $ZNGA
DKS
I looked to get into $DKS last Thursday but didn’t get filled on light volume. Still looking at this as I love the setup.
The daily chart is forming a bullish W. It hit off the bottom twice. The middle of the W bouncing off the 78.6% retracement. Once it finishes this pattern, it should move up and establish new 52 week highs.
The hourly chart is showing it playing around the 38.2% ret. for now. Even with low volume, it held at the 200 hr. SMA, and the 13hr remains over the 30hr lines.
I look for this to continue its move up over the next couple of weeks. I like the 38.2 line as a good entry.
FUV
$FUV made people some money not too long ago, and it looks ready to do so again.
For the last month, the daily chart shows that it has been running in a channel between the 38.2 and 61.8 ext. And, within that channel, it is slowly rising.
The hourly chart shows shows that it has been testing the 61.8% line since last Tuesday, but rejected each time. Additionally, the 13, 30, and 200 hr. SMAs are all stacked bullishly.
I would like it to come back down to the 38.2% ret. (14.32) for a good entry, but if it breaks 15, it is likely to run some.
HBI
$HBI is another position I tried to get into last Thursday, but couldn’t get filled as the price action didn’t come back down to my target entry point after the first hour.
After its drop after its last earnings, the daily chart shows that it recovered quickly to its 23.6 ret. and then used it as support, as it looks to break out of the 38.2 line. Though the EMAs aren’t quite stacked right yet, I don’t see it being too long before they are.
The hourly chart is showing a bit more upward momentum, and the hourly SMAs are bullishly stacked and have remained so for the last week.
I’ll be looking to see if it tests the 38.2% support (14.35) again, and if it holds, that looks to be the first entry point for a starting position.
KALA
This is one of the BioTech watchlist tickers. For the weekly and daily timeframes, this has been squeezing for 4 and 22, respectively. As such, it is likely getting ready to make a move. The question is, in what direction?
The first daily chart shows a downward trend in its price from its highs in June. With that said, the low around 6.00 served as support before its run-up to its 52 week high. So, its bounce from its recent low at that level could signify a bottom.
The second daily chart, focusing on more recent action, shows the bounce from the low and consolidation between the 38.2 and 50.0 retracements for weeks.
The hourly chart shows a run-up early this past week with more consolidation the last couple of days. Again, the hourly SMAs are bullishly stacked at this time.
For a bullish run, I feel that the 61.8 retracement level (8.03), coupled with the whole number (8.00), is the key to a run. A fall below the 38.2 retracement (7.28) would signal that it is not quite ready, and couple possible fall back to its 6.00 support level.
ZNGA
$ZNGA has both made me money and lost me money, with the latter more of an issue with my timing than anything else.
The daily chart shows a bit of an elongated bullish W pattern forming, though not the smoothest ride. But, the pricing has reached the level of the center of the W and is pausing there for the last few days.
The hourly chart for the last week shows consolidation with little price actions going either direction as it gains energy for a move.
From a bullish perspective, the key line appears to be the 78.6% retracement (10.13), which also means that it pushed past the whole number (10.00). A close above this and a hold the next session’s morning will likely signal the run back up to the 52 week high and higher.