Updated: Jul 18, 2019
UPDATED POST - July 17, 2019
BotTrigger Trade Alert/Update: $TWTR on today's morning intraday pullback we have now been filled on our limit order to buy the December 20, 2019 $40 / $45 vertical call spread @ a net debit of $1.49.
What's my conviction level on TWTR's bullish recovery to the $47 to $50 area? "I'm not uncertain" - Dollar Bill. TWTR isn't up here above $35 to simply check out the view mid mountain. That $47 - $50 area will act much like a gravitational magnet summoning the stock to retest it's 2018 high. Break above this area sets up the stage for a larger cultivation to take place where TWTR can BUILD CAUSE and build the next launching base (via consolidation) to retest it's all time high from 2013 around $75.
UPDATED POST - April 8, 2019
BotTrigger Trade Alert: $TWTR GTC (good till cancel) Limit Order placed to buy the May 17 $30 strike calls @ $3.85 for a 5% allocation.
As we've highlighted before, this whole breakout of price action now trading above this year long descending trend line within a larger DOUBLE-BOTTOM that has cultivated a symmetrical triangle is extremely NET BULLISH. This is a chart that wants higher. There is about 36% of upside upon a retest of last year's high of $47.79, & 111% move from current levels to Twitter's all-time-high of $74.73. Twitter has been SETTING UP & BUILDING CAUSE FOR HIGHER. We're going to wrangel the upside opportunity with 3 approaches 1) common stock position (which we have already acquired) 2) near-term call options to capture upside exposure on this next swing trade & 3) long-term vertical call-spreads targeting a 3x to 5x gain opportunity upon the NEXT RELATIVE PULLBACK. I tend to use all caps quite often when I quote that phrase. Why? Because it doesn't matter of Twitter runs another 20 points from here or start that pullback tomorrow, for example: the best time to buy premium is when volatility crashes / depreciates. Fear induced selling can quite often cause huge mispricings in premium values that have no business trading so low on certain positions. It's those kind of pullbacks that can allow us to enter a trade that yields a 100% gain opportunity contingent upon a 1.82% increase in a stock's share price (specifically here I'm now referencing the TSLA trade we just put on last week).
ORIGINAL POST - April 1, 2019
BotTrigger Trade Alert: $TWTR bought the common stock here @ $33.39 for a 5% allocation.
We have a very prominent 1-year long symmetrical triangle pattern on Twitter with price action now peaking above the top side of this descending trend line whilst volume acceleration is coming in from the last trough low. What's more, this is occurring while we have a bullish crossover on both the MACD & Stochastics momentum oscillators on the weekly time frame whilst RSI is now making a HIGHER-HIGH in value compared to the last time price was at this level where RSI was lower. So this is yet another form of bullish divergence showing on RSI. Stock price @ equal levels yet RSI showing you higher values indicates the buying pressure here is stronger than it was back in late January, early February. This is what we call a PERFECT STORM, an alignment of several key indicators conferring with one another that the path of least resistance is to the upside.