WFC - This is a post-earnings momentum trade. I like to watch the lows/highs that are printed on the day of earnings. These serve as support/resistance levels for people betting on earnings. WFC built up some resistance around $21 following surprise earnings a couple weeks ago. Now that the profit-taking has cleared out, I think newcomers can push this up a few bucks. I went with the May 20 Calls to give me some cushion in case we get some profit-taking on Monday.
AAPL - This setup involves the RSI and oversold conditions. The key to this setup is to trade with the market momentum and wait for confirmation. In other words, if the market is trading up, and the stock breaks down, I'll trade for a rebound back up along with the market momentum. AAPL broke down a couple days ago, prior to its earnings release. However, the market was still up (at the time, it sold off later in the day). Once the RSI got below 30, I waited for a reversal signal on the candles to catch a low-risk entry. Fortunately, this coincided with the opening range low which usually acts as support.
OIH - This is a "holy grail" bounce off the moving averages. Similar to most of the setups I trade, this allows for a low-risk entry with the moving averages as support. OIH ran hard out of the gates so I didin't feel like chasing it. It finally started pulling back to the moving averages. I don't like the risk of catching a falling knife so I normally wait for some type of reversal signal. In this case, there was a bullish hammer that was confirmed by the following up-candle.
LVS - I picked up some May 5 Calls @ 5.74 a couple days ago as the daily chart was looking pretty bullish on Tuesday's bounce off the moving averages. I added to the calls this morning @ 7.05 and picked up some shares but dumped those ahead of the stress test release. I'm looking to unload or roll the calls to a higher strike price if LVS can get to $8 or gaps open next week.
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