• David Yocum

Stock Chart of the Week - 8/22/22 to 8/26/22

This week, we have some negative sentiment based on TA on $SPY and $QQQ. Futures have also opened slightly red. This week's stock chart of the week will be a short setup given the headwinds I believe the market could face this week (always willing to be proved wrong). Warner Bros Discovery ($WBA) just posted the worst earnings in recent history coming in with a -$1.05 EPS last quarter. This gap down came on significant volume. We have now formed a bear flag with a VCP-like (learn more here) pattern. This one could need some more time to play out however given the run-up on Friday, this spot increases the risk/reward (learn more here).

As always, our preferred short setup is under these key EMAs which is the case here. The $12.05 short target came from a monthly pivot years ago. If the indices continue to fall here, this setup could play out nicely.

 

Subscribe for free regular market updates on the bottom of this page. Check out my other socials: Twitter YouTube TikTok Thank you for your support!

205 views

Recent Posts

See All