What's a Tesla? Stocks to Watch for the Week of 1/3 - HIMX Z F CACC ADM TSLA
Some Sundays (soon to be every Sunday) I throw down a list of potential chart breakouts, undervalued companies, sector trends, upcoming earnings, new IPOs, plus an occasional high yield dividend payer, or a recent SPAC merger to note. I include any positions I have or a trade plan to attack if the stock acts as I expect. I am not your investment advisor, this list is for informational purposes only.
New Year, new you? Definitely new stocks to watch. Seems as though it’s the Monday Morning late report, no big rant today. Straight to the goods.
Zillow (Z) - Watching for a breakout over $65 to trade Feb. $70 calls.
Ford (F) - Needs to build over $21 after the breakout attempt and consolidation. Still liking this to be 3-5 bucks higher in a few months. Trading further out ATM options to give it time.
Credit Acceptance (CACC) - It’s 100 points higher from the original squeeze idea here. It’s setting up again. It can run if volume expands and the price clears 700 soon. Still has a 9% short float that would take 9 days to cover at current volume. Down from 21% a few months ago. If volume increases, shorts could help fuel a one day 75-100 pt move. Looking to day-trade $700 weekly calls the day it happens.
Himax Technologies (HIMX) - 15% short float that would take 7 days to cover at current volume. 10 month consolidation pattern testing those highs. A continuation move over 16.50 could see 20-22 range relatively quickly in my opinion. Everyone will scream that the daily chart is overextended and due for a pullback. However, looking at the weekly chart it could just be getting started. It may not happen Monday or even this week, but set an alert because when it goes, it should pay well. April $15, $17 & $20 calls have notable OI. I’ll look to trade April 18-20 calls once it confirms the big picture breakout.
Archer Daniels Midland (ADM) - Stock trying to breakout over $67. I like Feb. $70 calls trading around a buck. Cheap if it gets 73-75 range out of this breakout for a 2-4 bagger. Last time it fell 10 bucks in 2 months. Ideally it goes up 5-10 points this go. $66 area risk guide or to flip to puts/strangle it.
Tesla (TSLA) because why not. Consolidating well the past few weeks. Watching for a breakout through the flag,1120ish to trade weekly $1200 calls and roll any day-trade gains into a swing trade of further out calls. Impressive delivery numbers. A gap up and I’ll watch dips or a continuation move through intraday highs. Weekly chart:
Back with more next week as Earnings season starts. About to get fun out there both directions.
Happy Trading!