Thursday’s trade remained volatile with the NQ managing to pull higher to create two new all time highs between 15753 and 15777. And then came the titans AAPL and AMZN with earnings reports — AMZN reports lowest quarterly revenue in the last four years and AAPL beat estimates by $0.01, yes one cent. Conference calls from both companies must have presented a bit rosier picture as the stocks recovered well. Back at the ranch I have not “filled in the blanks” as far as labeling goes because it isn’t totally clear yet that 15777 is the completion point for Intermediate wave “B”. It may be the completion point for the 3rd wave of a 5 wave sequence. If this is the case the decline off the close would be wave 4 – leaving another run for the brass ring tomorrow. Tomorrow is another weekly expiration and as I showed in tonight’s update via TSLA options that will expire tomorrow – the size of what is outstanding will in my humble opinion produce some wild gyrations in the stock and in turn the NQ and ES. Both AAPL and AMZN have already zipped thru several strikes with the adjustments already happening in the stock, which again will have an effect on the NQ and ES. Trade smart use the MA’s and Fibonacci to guide your trades. Don’t get married to a position, the volatility will kill a PNL and take away from necessary focus.
October 28, 2021