Market Consolidation & Key Stock Levels — Full Breakdown & Transcript

[00:11] [Music] do

[00:56] so um yesterday uh after the large move in the market we had a pause we did have that selling pressure right uh which was normal and expected after such a big

[01:10] move inflation data uh coming out but buyer stepped right in and so we saw that both in the nasdaq and the qs and uh we did retest this this probably looks very similar to use retest

[01:25] of the prior the high from friday after hours and solid clues so what you want to see going to go to the next major resistance area

[01:37] after you break the downtrend is buyers to step up and to consolidate against failure areas and that's exactly what happened yesterday so if we look at the cues

[01:51] if we look at the cues it should look pretty similar let's see and in the queues we had this like it was like 305 306 area um there'd been selling pressure here we went down to the 280s we bounced back up

[02:07] we failed we need the new low consolidated for a couple of days near the low so it was very dicey um until we in fact broke going to resolve one way or the other you can kind of still see the x's from

[02:20] it resolved to the upside and really nice follow through um all the way back to 310 on the queue so if we zoom out same thing i said yesterday morning

[02:32] we still have this area up here uh if we get a next another leg up you know the market's gonna look really strong if we get up to that area the market will look really strong people will start to get more bullish

[02:45] they will say the pullback is over um which may in fact be the case but that's not certainly my base case um my base case is we have a nice um my base case is we have a nice balance

[03:04] the big bounce comparable if we you know we'd have to get you know a little bit to this balance um for me to have a larger view in terms

[03:18] of us going back up you know into this area here i think that that just could take some time more data low inflation numbers continuing to see decent growth numbers um not signs of a recession coming up

[03:32] around the corner so um but there's enough people who got out more strength will want to get back in and that creates these bounces ideally area here and get there quickly so it would set up

[03:47] as a good good spot to be to be short um otherwise i'm not thinking about the you know take ideas for those lows and start to hold blue there for a day or that kind of gets sets us up for lower prices

[04:02] um so we do have a couple stragglers reporting it is in the middle of between always kind of comes out of nowhere in the very liquid stock to trade

[04:19] a good eps number they guided down i'm assuming that was expected um because of the 30 down almost 50 from the high um but the mark even with the guy down on uh eps numbers seem to be are going to be okay which means margins are good

[04:36] um it was up to 300 above the 300 stock came all the way down um right around i guess this was the ukrainian invasion um down to about the 180s you can see

[04:52] twice to it so you how these concepts we talk about all come up over and over again but the initial low bounced once it reached that and it bounced back up it failed um twice before making a new low so it's in

[05:06] a strong downtrend but it's very far from the high and i think that is why you're seeing a solid reaction i'm even with the guide lower

[05:19] your view on this you would have to oh by the way all the analysts brought down opportunity to bring their targets down from i don't know the 300s down into like i would say down into this area here

[05:33] so they've readjusted on people's expectations expectations as they always do

[05:46] price targets as opposed to follow um so here's the initial reaction got the one so 172 seems really important to me what do i have on the sheet here let's see here so we've already taken out r1

[06:00] it's basically already broken to the upside and is trending towards um r3 on on the open uh maybe you'll get a little bit of a flush on the open but as long as it's above um s1 let's just say apoca should be on

[06:15] the on the upside if it does spike before we even get to the market open before we even get to the market open today to like um 179 180 you want to see it flushes at that point i would be thinking okay maybe it'll flush into

[06:27] like 176 or something like that what's our volume level so it's like what's our volume level so it's like almost half a million shares most times been they have been able to make money on it right on the open

[06:41] um you just want to be a little bit careful about chasing it's already up 10 almost 17 uh it's probably a better feed if it gets a little bit closer to 180 in the pre-market um otherwise we

[06:54] we want to see it from here come down from 177 back to r1 to 175 and see if it supports there um the seo uh they crush dps guidance was okay

[07:09] this is more of a range stop let's see where's the daily

[07:29] it looks like it i peed it's in a downtrend

[07:47] yeah crm definitely is a little bit stretched um so we'll see market opens um things tend to as we've said a million times we'll put in the

[08:01] many cases and it can get stretched another two or three dollars before coming back into range

[08:17] where are we we're up four and a half bucks this is up also over ten percent um from 41 to 45 and change we don't have a lot of volume here we've only got 60 000 shares um

[08:33] actually have to see it holding above well i did put up 45's inflection on the sheet so i still think that makes sense um so to come into the downtrend um if it's below 45

[08:46] below 45 um that would be s3 so [Music]

[09:00] uh jan put in the uh to me not you guys can see it but he there's a lot of open interest uh for options at the 180 strike price which especially on friday uh epps

[09:19] the numbers were okay here i think the market reacted delay in the annual filing but they acquired two companies to delay an annual report when you've had a double acquisition

[09:33] be merged and you know that sort of thing so i think that's probably why i flushed and then came back a bit so let's zoom in and just take a better look at it

[09:51] business and didn't guide for what the revenue is going to be with the the two more confusion um um let's do it like a one minute

[10:13] um and it flushed below twenty dollars a share now it is rolling over again so share now it is rolling over again so what do i have in the shape of 23 as r1

[10:43] flushed it came back up they were supporting it above 21.50 for a while before it really bounced so that's that i mean ideally right on the open they flush it to like twenty

[10:55] there'd be some bids there and you'd kind of see it reverse otherwise i mean this is down a lot let's see here they're still good i think they grew like 97 year over year on revenue

[11:13] be short um so good that they created the um so good that they created the confusion with the bilings etc um confusion with the bilings etc um but you know the prior lows

[11:29] there twice already to like you know 27 ish 27 and a half so yeah i'd be looking more on the long side here um it would really have to be like consolidating below 20 for me to think

[11:44] sure um i put microsoft and apple on here just i think after the market bounced and people are feeling a little bit better um it's a lot off the lows but people think lower risk the leaders microsoft apple

[11:56] that you know they took out those those lower um prices pretty easily when the bounce started last week now especially microsoft is above

[12:15] um where it was like 270-ish it's like about it's like holding above 270 now and so that brings this 277 to 280 area into play so that's the one i'd be curious to see if more

[12:31] technology i think apple's coming back to the key where it broke down from which is 150 um that held for ages before it you know um that held for ages before it you know recently broke down

[12:46] beginning of march before we had that huge market rally broke out and had put in its all-time high so that's kind of big too so

[13:03] um i mean you have apple's more of a breakout situation if it has like a strong drive above 150 in the morning or at any time and um microsoft is more into coming into like the next resistance um

[13:16] [Music] so that is that i put gme and jimmy is after the close so that already came in a bunch from the crazy move last week

[13:29] let's see here so that went from 90 to 140 something that got sold pretty hard or something like that um so here you can

[13:43] see a few days in a row sold from 140 and what we talked about i think on friday was it had to start holding below you can actually see this action on friday where it did flock right on the open blue at 130 but it just couldn't

[13:55] consolidate below um deeper flood it's a little bit hard to trade this scenario yesterday because it went so it basically dropped 130 and you got a retracement i guess back to the support from thursday which you

[14:08] could have shorted um against 130 and that did work um so you're basically now 120 support by 128 by 130 resistance and i'd be it you know is below 130.

[14:23] then chewy a bunch of people i think lower their targets they report after the clues this is very beaten down they warned the last quarter they warned the last quarter um so it's consolidating at the lows

[14:39] could break down let's see where it was when it appeared when it appeared [Music] 20 and it's right at the support it's

[14:55] basically right at its low from post from when it's ipo so that's gotta hold on um down from a hundred dollars or i lower high at 50.

[15:07] there's some upside if they give good guidance maybe to like 30 32 or something like that it's very beaten down all right i gotta go um as always be patient and good luck

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