Retail Earnings, Consumer Discetionary, and more

 

Identifying Opportunity in Chop

When the market is choppy, it can be a bit frustrating for those of us traders who love identifying directional moves. But, as we know, the market chops around 80% of the time and spends the other 20% of the time making big moves.

It’s our job as traders to identify those moments of consolidation, where energy is building up and likely to break out. This is why we use my favorite trading indicator, known as the squeeze.

Earnings, as a Catalyst

I identified a few squeezes when I joined David Keller at Stockcharts on Tuesday. I especially like squeezes on hot stocks going into earnings.

This is because the compression of the squeeze demonstrates energy build-up, and earnings are a catalyst. This catalyst is what often causes the momentum to break out.

Walmart, and Target were two stocks I identified for earnings opportunities. I was looking for a bullish move in Walmart, and a bearish move in Target.

Check out the segment below as we discussed this, and more!

Upcoming Earnings

Even though earnings season is winding down, many notable companies are still reporting, coming up soon.

Friday, May 19th

John Deere (DE)

Monday, May 22nd

Zoom Inc. (ZM)

Tuesday, May 23rd

Autozone (AZO)

Dick’s Sporting Goods (DKS)

Lowes (LOW)

Palo Alto Networks (PANW)

Wednesday, May 24th

Kohls (KSS)

Nvidia (NVDA)

Thursday, May 25th

Best Buy (BBY)

Costco (COST)

Ulta Beauty (ULTA)

Which tickers are you most interested in? There will be more opportunities next week!

As for me, I’ll be on vacation with my family, but as always, you can find me on Twitter @traderdanielle.

Up Next...

How I Managed a 120% Winner

Trading butterflies is all about identifying price targets and using options to trade the move to that zone. Traders often ask me how they can correctly identify a price target, and questions about what to do when the ticker hits that zone. In my latest Trade Review video, I answer these questions! In this example, … Read more

Read More

Trading Butterflies Overnight

Choosing Your Expiration Date Butterflies are a strategy that can be used on various time frames, from intraday using 0-day till expiration options, overnight close to weekly expiration, 7-14 days out for a swing trade, or longer. Generally, I prefer to keep my expiration below 14-21 days, or else the trade takes too long to … Read more

Read More

My Risky Fed Day Butterfly

Why Fed Day Butterflies? Trading 0 DTE (days till expiration) options is something I will do when the market is moving, and I have a solid gauge of market direction into the last hour or so of the day. Fed days are generally great days for this strategy, because the market has usually consolidated and … Read more

Read More

Subscribe Today!

Want my up-to-date analysis, setups, top trading tips, and more? Be a Five Star trader, and join my free newsletter today!

Sign Up Now
all-as-seen-on-logos