I usually wouldn't do this and I'd prefer options, but the premium before earnings is often so high that even with an excellent result, it's hard to even break-even. As usual, AA kicks off Q3 earnings season after the bell.
This will be an AA equity long trading position, about 1/2 the size of a core position. The reason I like AA here is because of the consistiency between various timeframes using the 3C trend chart.
This is a 60 min chart, what I noticed was the divergences are consistent through multiple timeframes, they appear at the same areas.
30 min chart
15 min chart which looks sharper as it should
5 min chart
1 min chart
Although it looks like stops have been recently run, there are two very clear levels that stops are likely amassed below, at $7.84 and $7.82.
As a trading position and on earnings, I'm not going to rush to any judgements tonight, good or bad, but rather wait for regular hours trade tomorrow, but that's just my preference.
No comments:
Post a Comment