The Dollar Will Crash

Intermediate to advanced An algorithmic trade-hunting system that focuses on strategic premium-collecting strategies. Timely trades are focused on active stocks and ETFs with robust options markets. Three emails per week.

Basic to intermediate A quantitative newsletter on the markets from tastytrade’s research department. Each week, the team discovers new opportunities and trade ideas. Also a quarterly earnings edition. Every Tuesday.

Basic to intermediate Options? Futures? Implied volatility? This essential knowledge platform provides comprehensive online courses that teach the crucial concepts, strategies and mechanics that make successful traders.

Basic to intermediate Premarket analysis direct to your inbox! Daily analysis before the opening bell. tastytrade co-founder Tom Sosnoff kicks off every week followed by chief quantitative strategist Tom Preston. Five emails per week.

Basic to intermediate A global digital publisher with news, analysis, educational content and tools for active traders and investors. DailyFX’s global team of analysts provides hourly updates from a variety of macro perspectives, fundamental and technical analytics.

Intermediate to advanced Backtest your stock option trade strategies. You can see how well they would perform historically by providing insight into the average profit/loss, the win rate and the maximum loss that the strategies saw, along with other metrics. In addition, lookback allows you to forecast the potential profit and loss before you enter a trade, so you can better understand how changes in price and time impact potential positions.

Basic to advanced Sixty hours of live, educational, yet often irreverent, original programming each week. More than 20 on-air traders provide financial information, investment strategies and entertainment related to stock and options trading. Actionable information rooted in research and experience.

BREAKOUT A CANDLESTICK ANALYST SHEDS LIGHT ON THE MARKETS

By Stephen W. Bigalow

alantir Technologies (PLTR) has been a much-debated battleground stock ever since its initial public offering a little more than two years ago. The company offers software that predicts the probability of crime, terrorism and other events.

This chart shows a recent fry pan bottom pattern, a slow-rounding pattern that points to a buildup of bullish sentiment. The expected result is a strong price move to the upside.

The J-hook pattern that accompanies it is a prerequisite of a strong price move, then an indecisive pullback, followed by a new bullish wave. A bobble breakout is a more definitive J-hook pattern.

The first price move fails at an obvious resistance level, such as a moving average. It pulls back, usually using the T-line as a support, and then comes back up through the resistance level.

The bobble breakout pattern produces better bullish probabilities because everybody watches to see whether it will breach the resistance level.

Active investors might consider buying Palantir when it comes up through or closes above the 50-day moving average at approximately the $8.40 level. Once the stock closes above the 50-day moving average, a long position should be closed if it subsequently declines and closes below the 50-day moving average.

Beta vs. S&P 500: 1.60 1-year total return: -69.10% Analysts’ Target (Avg.): $10.60

Palantir Technologies is exhibiting a classic pattern: the “fry pan bottom.” ———— A “J-hook” indicates a common price movement that foreshadows high-probability outcomes. 50 SMA Bobble Breakout Entry T-Line In a J-hook pattern, Wave 3 has the same magnitude as Wave 1. Fry Pan Bottom The fry pan bottom is a slow, rounding bottom that’s difficult to trade because of its indecisiveness. But its trajectory points to a buildup of bullish investor sentiment, producing a strong price move upon a breakout. Sep Oct 08 15 22 29 0601 12 19 26 03 10 17 24

J-hook pattern

2022

Stephen W. Bigalow, a veteran of 45 years of trading, directs a candlestick analysis learning forum at candlestickforum.com.