This week we can see controlled pullback around 50% from recent move up from 1.36724 to 1.39056. In the morning we have tight consolidation above key moving averages in front of pivot high at 1.38513. I will be actively watching to open positions on resolution of that range: CALL option above 1.38447 then we can expect break out of previous high of the day and it will be our another point to make some decisions. Below 1.38360 PUT option could be considered and we can expect retest of our support zone around 1.38075.
Yesterday we mentioned important resistance zone 1.67435-491 and our break out scenario worked well. Strong bullish action was supported with strong numbers on Unemployment rate. We had quick move to next pivot high at 1.68201. In front of that resistance zone there were couple of tactical trades with PUT option. Nice symmetrical triangle near highs resolved to the upside and now we have consolidation above our resistance level that should act like support. From here we have two scenarios: i will be trading with CALL option close to support levels at 1.68260 and next at 1.68200 as well as break out trades above 1.68360. After 3 days up some rest would be healthy, so we can see break out failure scenario when price will drop below 1.68201. Below that i will consider PUT opportunities.
This asset is building nice construction for continuation move to downside. Yesterday we mentioned resistance level at 1304.6 that worked really well for PUT trades. It broke down ascending triangle and if sellers will find enough power to clear 1296-1298 support zone we can see 1290 soon.
Stock closed on highs after gap up in the morning. We had few points to make adjustments: break down failure below 528 lead to strong close that day. Gapped up next day with another pivot support at 540-541. Break up above 550gave us nice follow through right to 556. There is still potential to next level of resistance at 564. We will have earnings report after close. Be cautious to not open position in front of this event, but ater the news will be released it will give us good opportunities to trade.