SPY setting up for 7th new high in 9 days?
Potential gravestone doji in play for QQQs.
Todays trade is on ZM – Earnings have come out and market did not appreciate the forward guidance. i think its overblown and i am going to put on simple put credit spread to take advantage of that thought process . If the stock is around $290 tomorrow at the opening I will STO the 250 BTO the 240 put spread expiring Oct 15 and should get filled for approx. $1.10. Risk on this trade is $10.00 less premium received !
The American Equity Investments Life ($AEL LTP $32.43) ended Wednesday higher by 2.34%. In the last earnings report the company announced a jump of 17% in their 2nd Qtr revenue YoY and increase in FUM by 1.5%. Also, the company recently announced Axel Andre as their new CFO. Technically, the stock crossed 20EMA and 50 EMA from the support level of 31.10 in a Bullish Engulfing Candle pattern. The RSI, Stochastics and MACD are pointing higher and there is no immediate resistance till a short term possible target of $33.68.
On the downside, if the stock falls below the 50EMA once again shortly, then it can go past below $31.00 to the next support level of $29.75 or so. The trading in this stock has been choppy for the last few month and there is no clear long term bullish pattern as such.