The stock broke through its previous resistance and closed on a bullish note, just a few ticks below the high-of-day. As you can see on the chart, several factors seem to indicate a stock that still has some room to grow.
Yesterday we stated that we were looking for higher lows and highers highs to remain interested in this play. That’s just what we got, and we’ll be on the lookout for the same thing today. The next key areas of resistance are pointed out below, with the most immediate obstacle at .64.
Watchlist Gainers
We had a pair of winners on yesterday’s Extended Watchlist as well, in the form of EFUT and ALVR.
EFUT ran fast out of the gate, and quick-witted traders could have been in at 4.15 and out at the subsequent 6.00-high for gains of up to 45%
ALVR made an even more impressive move, running 87% intraday from an early morning low of .7311 to the high of 1.37 just prior to lunchtime.
Options Trading Ideas
– Best Buy (BBY) released earnings that exceeded expectations on the Street and is in the process of a pre-market gap-up. As a result, we’ll be monitoring the in-the-money Calls on BBY during today’s session with a strike price at $33.50 and below.
– We’re also still looking at VCLK to continue to recover from a poor earnings report, as we mentioned the $24 09/21 Calls yesterday. These are not especially time sensitive, with an expiration date late next month, so this is more of a longer-term interest that we will be following in the coming weeks.
Extended Watchlist:
VDSC, WPNV, LIME, FRO, COCO, ELTK