Hello Traders,

I am back!

Apologies for my absence the past few weeks. I was Vacationing in Europe with the wife (London, Croatia, Greece). Had to put the weekly watchlists on hold for a few weeks. I’m finally getting back into the swing of things now and I’m happy to start digging through charts once again.

TICKERS

BABA, TSLA, JD, CRWV, GRAB, CNP, CAT, PNR, IBIT, META, TDS, DTM, BSX, VCTR, AXP, AMZN, TRGP

Let’s get into this weeks charts!

BABA - Alibaba: I’ve shared this chart many times. While I was away, this one had a massive breakout following a great earnings release. I was heavily anticipating a breakout in this name, with or without an earnings release. The longer term chart had been developing for a while. Now, post breakout, we have rallied up to a former resistance point at around $135. Price is forming a mini bull-flag at this level. I like how well price has held up here after gapping higher. It feels like this one has more room to run. My next shorter target would be around $148 which would be the highs for the year. I will reassess after that.

TSLA - Tesla: Price is forming an ascending triangle formation. We got a nice pop in price on Friday to finish the week. We still haven’t broke out over resistance at around $350, but we tested that level yet again on Friday. I don’t have the MA’s overlaid on this chart currently, but Tesla pulled back right into the rising 50-day & 200-day MA’s right before Friday’s rally. Those 2 moving averages are going to be my line in the sand in terms of risk. As long as we hold above those MA’s I will remain long this chart.

JD - JD.COM: This is another China name. Massive falling wedge pattern. Volume is stepping in nicely last week, right after price quickly undercut the lows for the year last Friday. Definitely felt like a bit of a shake out as this falling wedge begins to look exhausted to the downside. The pattern won’t be validated until we break above the upper bound of this pattern. However, I have personally taken a position in this name, and my stop will be under the recent pivot lows of last week. First upside target for me would be $35-$36 as this is where the 200-day MA is positioned.

CRWV - CoreWeave: After an unbelievable run, this one peaked out in June and has been falling pretty precipitously for several months. What I’m paying attention to here is the RSI which has been making higher lows well before the stock bottomed. It appears this downside move is getting exhausted. This one can move quickly. I want to see price firm up at this level, and ideally not take out that lower blue line. This level seems to be acting as a bit of a support zone for the time being. If we break below there, I would see this retesting the lower black line. This one is on watch into next week.

GRAB - Grab Holdings: We have a big base formation developing. Price has a well defined horizontal resistance zone above. As this one pulls back within this base, it continues to find support along the 200-day MA, which it tested just last week and bounced. This most recent bounce has pushed price through that short term slanted resistance zone that developed following the last test of the horizontal resistance line June. Game plan is simple, my stop will be below the 200-day MA, with my first upside target being the upper resistance line. From there I would like to see this setup a new 52-week high breakout. We’ll see how it responds next week.

CNP - CenterPoint Energy: This loos like its trying to form a cup & handle formation. We are currently sitting right in the bottom of the handle formation as we speak. Oddly enough, the rising 50-day MA happens to be sitting directly under price. We saw an interesting shake out candle last week on Thursday, with that long wick, which shot way below the 50-day only to quickly recover and basically reclaim this key MA by the end of the day. I don’t expect to see another shake out candle like this, if we start to break below the 50-day again, I would look at it as a true break down going forward. But if we can start to firm up at this level, this could offer a really good risk to reward long setup.

CAT - Caterpillar: Big time industrial name here. We got a massive base breakout in July. The stock rallied for a bit, but it was clear this needed some time to consolidate and digest the massive rally it’s had since the April lows. We find price currently trading above resistance, which has successfully acted as support. We see the 50-day MA catching up with price fully. And we’ve now formed a new shorter term slanted upper resistance zone (blue line), which will be the zone we want to see price break through to signal the next leg higher in the coming weeks. I would like to see the rising 50-day give some additional support to price next week, ideally helping to give it a lift higher from here. Regardless, I like this chart as long as we are trading above the black support line.

PNR - Pentair: A cup & handle formation is developing on this daily chart. The rising 50-day has been acting as support to price on all pullbacks within the handle consolidation part of of this pattern. Price managed trade above that upper resistance zone as of Friday, sticking its highest close of all time last week. I would like to see this hold above this resistance zone going forward, however, this first breakout attempt was to fail, I would be looking to the 50-day for support. A failed hold here would put me back on the sidelines.

IBIT - Bitcoin ETF: This is a very straight forward setup. After breaking out of this inverse head and shoulders formation, price has now fully retested the breakout zone (black line). This level is currently acting as support. If we break below this line, all bets are off. If we continue to hold this support line, as we have, then we could have a great risk to reward opportunity in front of us. First target would be the former highs last month, and hopefully a new all time high breakout after that.

META - Meta Platforms: Another very straight forward setup. We had a massive breakout over this black resistance line at the end of July. Since we have now fully retested this breakout level, which price quickly dropped below, and then reclaimed this support line immediately after. Interestingly enough, the 50-day MA happened to line up perfectly with this support level. This definitely felt like a minor shake out last week, only to see price quickly recover and look like a continuation to the upside is in order. I would be setting my stop below that prior swing low from last week.

TDS - Telephone & Data Systems: This one has really struggled to get over this horizontal resistance line. You see several candles which pushed above it, only to quickly retrace by EOD. Last week we actually stuck a decent breakout candle above resistance, only to see price drop right back below the line the following day. The notable thing here is price is sitting right under that resistance zone following the failed breakout. There was no additional volatility after the breakout attempt, it really looks as if price has continued to tighten just under that resistance line. I have a feeling its going to try and breakout again in the near term.

DTM - DT Midstream: Another cup & handle formation developing here. Price is currently building the handle consolidation as we speak. Price has really went sideways more than anything. Its currently trading around the flat 50-day MA as we speak. I would like to see price start to curl higher from here. We’ve seen some higher the average volume step in over the past week, which makes may suggest a new push higher is coming.

BSX - Boston Scientific: Ascending triangle formation developing. We have a well defined resistance line above. Price has yet to successfully push through this level, although, its currently flirting with the zone as we close the week. I would have liked to see it stick a bit more of a breakout to finish the week, but that’s the name of the game. I will be watching it for a breakout into next week. If it fails to move over the line, I will be looking at the rising 50-day as a support level. A break below that would get me uninterested.

VCTR - Victory Capital: Nice big base formation here. Thee almost looks to be a an ascending triangle formation developing as well, depending on how you want to mark up the chart. Either we, the objective here is simple. I’m looking for a breakout above the upper black resistance line. Price hasn’t been able to push through this level after testing it several times. If price continues to consolidate under this resistance zone, I will be watching the rising 50-day MA as a potential support level.

AXP - American Express: I shared this chart with everyone when it was hanging below the 50-day MA several weeks back. It pays to anticipate some of these patterns early. You can often keep risk levels very tight and potentially be given great reward on the opposite end when you do. This one worked out perfectly, but not we find ourselves having completed this cup and handle pattern, more or less, and testing those all time highs. Price is tightening just above that former resistance line. It looks like a continuation higher is likely. Objective is to hold above the black line going forward. If this level fails, I would be looking at the rising 50-day for support.

AMZN - Amazon: Breaking out of a flag pattern last week. Tucking back in slightly on Friday, but regardless, the general feeling is this is trying to move out of this short consolidation and hopefully move back up to test all time highs yet again. The rising 50-day is not far off, and has acted as support within this pattern. I will use that level as my line in the sand in terms of risk.

TRGP - Targa Resources: This is a monthly chart, please keep that in mind. But this is an extremely clean breakout, and retest. This resistance line, which has now turned support, goes all the way back to 2014. Price is really tightening as it hugs that support zone. I’m looking for rally in the near term. Risk is well defined and not far off. If we break below the line, all bets are off. As long as we stay above it, I like to the long side.

Thanks for tuning in as always. Have a great week!

Together We Trade