Daily Plan 2.21.24
Welcome back everyone!
Today marked yet another picture-perfect trading session for those who tuned in to yesterday's video and followed the commentary posted on X.
Starting with X, both LLY and SMCI played out in favor of my thesis. LLY experienced a sell-off, mirroring the blueprint seen with SMCI's descent from its highs. I believe this sell-off is just beginning to unfold and anticipate further downside momentum in the coming weeks. Turning to SMCI, it rallied above the 730 level mentioned earlier, reaching a high of 790 for a 60-handle increase. I foresee this upward momentum continuing, with my main target set at 886.
Shifting focus to the indices analyzed yesterday, the Emini declined from my identified short level of 4995, hitting the session low at my target of 4967. Today's session mirrored this precision within the Nasdaq. Right at the open, the Nasdaq surged to my short level of 17708, almost hitting the previous day's high before retracing to my target of 17534, resulting in a gain of 174 handles.
In commodities, Oil retraced from my short level at 78.17, the day's high, and reached my target at 76.83, the day's low, resulting in a net gain of +134 pips. Meanwhile, Gold managed to rally above the long level of 2033.2 but fell short of the target at 2051.1, reaching only as high as 2043 for a gain of +10 handles.
Lastly, let's delve into the stock market. AMD and NVDA exhibited similar downward movements, plummeting from their respective short levels. Likewise, AMZN and TSLA succumbed to selling pressure, declining from their highs. Other stocks covered experienced volatility around the short levels but largely closed unchanged.
Now, let's dive into the analysis for the upcoming week!