Stocks to Watch This Week (7/19)

MichelleJuly 19, 20214 Mins read35

Week of 7/19/21

Lots of Bearish Trends or consolidation forming from last week in many stocks. I would say go light this week and be careful if trying to catch bounces or going long

S&P 500 (SPY)

**Summary**: Last week was Triple Witching or Options & Contract expiration week. Now that it is over and SPY took a tumble. Let’s see if the saga continues or bulls try to turn the ship around. Inflation and the Delta Variant also has been in play as of late. Also, Friday’s action produced a Bearish Engulfing Candle. Here are some scenarios for the week:

Long/Calls: A bounce off 430.75 or 428 with targets of:
> 433, 434, 436 (Also Watch for potential rejections from these levels to go short to previous target and/or re-test before a breakout)
Short/Puts: A break and close below 430.75 with targets of:
> 428, 425, 421 (Also Watch for potential bounces from these levels to go long to previous target and/or re-test before a breakdown)
Possible Consolidation between breaking level and 1st target on the Long or Short side pending which happens first.

**Indicators**:

MOVING AVG: Currently riding above the 72 EMA but sitting sideways on the 4 Period Variable MA = Neutral
RNNR Spotter: Last signal was a Sell. Look for a break of levels mentioned above for continuation of current trend and/or another confirmed buy or sell signal
RNNR Momentum: Still in Bullish territory but curling down in the short term. = Cautiously Bearish
On Balance Volume w/ Bollinger Band & EMA: Broke below its 9 & 21, but above its 72 EMA and pointing down. A break below its 72 EMA will put us in bearish territory = Cautiously Bearish

1D Chart: https://www.tradingview.com/x/pEWhG1wQ/

Square (SQ)

**Summary**: Square just had a nice multi week and appears to be cooling off with consolidation or more potential downside. So here are some scenarios for the week:

Long/Calls: A break and close above 238.7 with targets of:
> 242, 247, 250, 254, 257, 268 (Also Watch for potential rejections from these levels to go short to previous target and/or re-test before a breakout)
Short/Puts: A break and close below 235 with targets of:
> 231, 227, 224, 218, 211, 201 (Also Watch for potential bounces from these levels to go long to previous target and/or re-test before a breakdown)
Possible Consolidation between breaking level and 1st target on the Long or Short side pending which happens first.

**Indicators**:

MOVING AVG: Currently wedged between the 4 Period Variable MA (pointing down) and the 72 EMA (Sideways). Thus indicating a squeeze or consolidation. However last time this scenario appeared Square sold off. = Cautiously Bearish
RNNR Spotter: Last signal was Potential Downtrend and the trend looks to continue. Look for a break of levels mentioned above for continuation of current trend and/or another confirmed buy or sell signal
RNNR Momentum: Momentum is curling down with sellers present. = Cautiously Bearish
On Balance Volume w/ Bollinger Band & EMA: At a crossroads with its 9, 21, & 72 EMA and pointing up = Neutral

1D Chart: https://www.tradingview.com/x/eZZgliJz/

Lemonade (LMND)

**Summary**: Looks to be prepping for a move prior to earnings. My prediction is that we will see continued bearish pressure back to where previous buyers were and then a run up. So here are some scenarios for the week:

Long/Calls: A break and close above 88.2 or a bounce off 78 with targets of:
> 92.4, 98, 106.5, 116 (Also Watch for potential rejections from these levels to go short to previous target and/or re-test before a breakout)
Short/Puts: A break and close below 83.5 or rejection of 88.2 with targets of:
> 78, 71, 60.5 (Also Watch for potential bounces from these levels to go long to previous target and/or re-test before a breakdown)
Possible Consolidation between breaking level and 1st target on the Long or Short side pending which happens first.

**Indicators**:

MOVING AVG: Currently below the 4 Period Variable MA and the 72 EMA = Bearish
RNNR Spotter: Last signal was Potential Downtrend + Sell. Look for a break of levels mentioned above for continuation of current trend and/or another confirmed buy or sell signal
RNNR Momentum: Curled into Bearish territory and trending down. = Bearish
On Balance Volume w/ Bollinger Band & EMA: Below its 9, 21, & 72 EMA and pointing down. = Bearish

1D Chart: https://www.tradingview.com/x/2ejSFWth/

Data Dog (DDOG)

Long/Calls: A break and close above 106 or a bounce off 102 with targets of:
> 107.5, 109.5, 112.5 (Also Watch for potential rejections from these levels to go short to previous target and/or re-test before a breakout)
Short/Puts: A break and close below 103.5 or rejection of 106 with targets of:
> 102, 97, 92 (Also Watch for potential bounces from these levels to go long to previous target and/or re-test before a breakdown)
Possible Consolidation between breaking level and 1st target on the Long or Short side pending which happens first.

**Indicators**:

MOVING AVG: Currently below the 4 Period Variable MA but above the 72 EMA = Cautiously Bearish
RNNR Spotter: Last signal was a Sell. Look for a break of levels mentioned above for continuation of current trend and/or another confirmed buy or sell signal
RNNR Momentum: In Bullish territory but momentum is trending down. = Cautiously Bearish
On Balance Volume w/ Bollinger Band & EMA: Above its 21 & 72 EMA, but below the 9 EMA and pointing up. = Cautiously Bearish

1D Chart: https://www.tradingview.com/x/VRy8KL1n/

Disney (DIS)

**Summary**: Delta Variant may be creeping up to trigger Park closures. So here are some scenarios for the week:

Long/Calls: A break and close above 180 or a bounce off 177.25 with targets of:
> 181.5, 185.5, 187.5, 190.5 (Also Watch for potential rejections from these levels to go short to previous target and/or re-test before a breakout)
Short/Puts: A break and close below 179 or rejection of 181.5 with targets of:
> 177.25, 175, 172.85, 169.1 (Also Watch for potential bounces from these levels to go long to previous target and/or re-test before a breakdown)
Possible Consolidation between breaking level and 1st target on the Long or Short side pending which happens first.

**Indicators**:

MOVING AVG: Currently below the 4 Period Variable MA but sitting at the 72 EMA = Cautiously Bearish
RNNR Spotter: Last signal was a Potential Downtrendl. Look for a break of levels mentioned above for continuation of current trend and/or another confirmed buy or sell signal
RNNR Momentum: In light Bullish territory but momentum is trending down. = Cautiously Bearish
On Balance Volume w/ Bollinger Band & EMA: Below the 9, 21 & 72 EMA and pointing down. = Bearish

1D Chart: https://www.tradingview.com/x/xyuafUTj/