$442 first level in SPY to watch if there’s a pullback.
QQQs need $370 to break the consolidation.
$MSFT (Microsoft Corporation LTP $292.85) finished the week at another all-time high on Friday. The stock has risen by more than 20% in the last 3 months, yet there could be more to the story. The PC Sales world over during the pandemic and their Office 365 subscription product reached new highs and proved their worth for the long run. The momentum is still positive and RSI, Stochastic still rising. Even allowing for a short-term pullback, the stock could have another outstanding couple of months prior to their next earnings announcement for stellar growth.
On the other hand, the MACD seems to be losing steam, and as mentioned, there could be a short-term pullback up to $263 on the downside.
Well different day same results no big moves to speak of on stocks we follow. Todays bullish trade is on FCEL ( Fuelcell Energy) It had a nice bump this week with news about an infrastructure bill that would be advantageous but then reality stepped in as will be difficult signing it real soon. So with this pull back I am going to put on a very simple trade. I am going to buy 100 shares of stock if the price is under $6.20 on Monday and sell a Sept 17 7 call for around .50 cent credit. At expiry if called away I will make .80 cents on the stock roughly and my .50 cent credit which results in a a very nice percentage return.
My risk on the trade is the cost of the stock less the premium received.
Now this is not a slam dunk trade as there is a reason this is not a high priced stock at this point yet but the fundamentals and the juicy premium is attractive to me .