Options Watchlist – 2021-01-24
Weekly Watchlist: $AAPL, $AG, $BEAM, $BIG, $FUBO, $GOCO, $IOVA, $JKS, $NET, $PINS, $SIG, $SNAP
Stock Only (not enough options volume): $CHRS, $PBYI, $CPA, $GP
Others Considered:
$SONO – likely consolidate before going higher, look at next week
When I’m looking for my entry point, I’m looking to get it around the best level of support that I see on the chart to minimize downside risk. On the upside, I typically look a little over the top of a trading channel or Fibonacci line as my pre-programmed target. The goal isn’t to hit homeruns, but it is to sustain a high win percentage while minimizing potential losses.
New Plays
BEAM
Create a new scan and see how it goes. $BEAM was on the list as a potential one to pop. And, if it does pop, it will take more than a week for the shorters to come clean.
It is off its high from earlier this month and is back down to what should be good support. I look for an entry and the combination 423.6% and 78.6% extension lines around 93.50. From there, a pop back up toward the intraday high north of 122 should be in the playbook.
BIG
$BIG is another off that same scan that looks like a good setup. And, it has fared decently throughout the pandemic and could be a winner on the other end. But, I’m mainly thinking of how can I profit the next week or so.
$BIG has been playing in a channel after its high in August. It is looking ready to make a little run up.
I’m looking for a little dip below the 78.6 again for a pickup around 47. From there, I will be setting my target for a run up toward the top again around 57, with a stall target around 55, as it seems to have an issue with that whole number.
AG
$AG has had some pretty big price action for multiple days last week, and it is a good candidate to pop according to that same scan as above.
The optimal place to get this would be around the 78.6 extension at 12.30. However, the 61.8 retracement (about 12.60) may be the more realistic if it is getting ready to make another run at its 52-week high.
The initial target will be around 14.50, just short of its 52-week high. But, I’ll be keeping an eye on silver prices in the pre-market, as a jump there could really push this higher too.
NET
Yet another cloud provider here. They had a nice run-up throughout 2020.
In looking at the daily chart, $NET is forming a flag off its 52-week high. I’m liking the 161.8 extension, coupled with the 50.0 retracement as a good area for an entry for when it comes out of the flag.
Looking for an entry around 79, with a target at about 88.
Later in the week:
SIG
I’ve played $SIG before for a nice win in early January. It is setting up again, and a new scan that I started on Finviz this weekend (which I’ll have to name for myself) put this back on the list.
It is consolidating from its high earlier this month. It typically consolidates down to a little above the 55-day EMA before popping again. So, I’m looking for an entry with that consolidation and good support, which puts the best entry around 32, but I’ll take 33.
The first target for its upward movement would be around 38.75, and then a run toward its 52-week high a little under 43.
PINS
I had a nice win with $PINS not too long ago. With earnings coming up and good expectations, another play at it before February 4th is in order.
For the channel it is playing, it looks to be forming a bit of an ascending triangle, bouncing against the same resistance around 76, but having higher lows each time it bounces off.
It is supported by the 21-day EMA at the bottom of the channel. I’m looking for an entry at 70, but may need to adjust upward, depending on what I’m seeing on the price action. 76 would be a primary target, but it is likely to run higher in the coming week and a half before earnings.
Other New Tickers
FUBO
$FUBO had a big run up and fall in December through early January. It ended that excitement about right where it started. Since then, it has consolidated and looks to be starting a more stable climb back up.
If it holds the current lines, I like the double support that I see around 33 as a good entry, and then 40 as the first price target above that.
JKS
I’ve charted $JKS on multiple occasions. The 68.50 area offers strong resistance, and it has pushed against it two days in a row without getting through. I would prefer for this to pull back one more time for a better entry if I were to jump in. I like the fibs around 60.50 as good support and an entry to try this. Target 72 from there, but use 68.50 as a stall target.
Re-Entry
AAPL
I took profits off the board on Friday, as $AAPL continued strength. I look to get back in should it dip a little below the new support level at 137 and ride it through Wednesday. Don’t want to hold it through earnings, though I may take some profits and play some lotto tickets just in case of a big move.
Previous Entries Still On Watchlist
GOCO
$GOCO never quite hit my entry last week, so I’ve left it in place. I’m not sure if it will come back down to 14.00 or so before pushing up, but as it has been pushing against the line at about 15.12 for the last week without success on pushing through, it will probably take one more dip before moving above that level. A breakout could see it pop to around 18.
SNAP
I played $SNAP for a nice win not too long ago, playing the channel. It broke above that channel and is not back down to the bottom of it (around 50.25). It is currently at the top of the channel, where it is finding resistance, so looking to see if this pops back down one more time before busting up through.
IOVA
$IOVA has enjoyed a recent run up since October after a consolidation that lasted more than 4 months. I’d like to see some sort of consolidation period at the current level before considering a chance to get in. The candle wicks are fairly long to the upside for multiple days. I’m not convinced that the shorts are ready to let this one run yet. But, it is worth the watch.
However, it is back to the bottom of its current channel (around 46.60), which could be a good entry point. The upper end of the channel is around 54.25.