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Todays Big Stock Wealthpop News

How To Play This Trade For A Tech Stock Approaching Key Level


After a brief leave of absence, we’re back and with more trades to get you back in the game. Today, we are looking at a stock that we seldom have on our radar, but with the setup we are being presented with. For Applovin Corp. (APP) we have a basic key level of support at 37, which for us can mean one of two things.

Depending on the overall market, we could either look at this level as a bounce level, which would make sense in conjunction with our calls at support and puts at resistance system, or puts should this level fail.

This level has shown it can hold up against a attempt to break it and move lower, however, a level that is tested repeatedly may become weaker and weaker with each additional attempts as buyers get tired of trying to prop up prices.

If that were to become the case, and if the market remains weak overall, traders could look at the break of this level to bring lower prices for the stock. As always, we will let price action, as well as multiple confirmations of either trade be our guide on whether or not we take either trade, never prediction to lead our hand.

If you like The Profit Machine (TPM), then you will really like my Wednesday Profit Room trading service. Same high-quality options action, as well as more world-class trading education. As I say, the more screen time and education you expose yourself to, the better. Give it a try for one month here and if you don’t find even more value, cancel anytime. Your success as a trader is on the other side of hard work and education, will you be willing to put in the work with me as your guide? Give it a try today!

Good Luck With Your Trading!

Christian Tharp, CMT

Christian Tharp

I am an expert stock market coach having helped over 4000 beginner and advanced traders & investors from around the world take control of their financial futures. I also write stock market related articles for the Adam Mesh Trading Group. My Chartered Market Technician (CMT) designation substantiates me as an expert in areas such as the technical analysis of stock trends, market indicators, cycles, price patterns, Elliot Wave principles, Candlestick charting, analyzing financial trends and behaviors, portfolio strategies, and forecasting future price movements. With my straightforward approach to simple, systematic trading, students learn how to strategically assess buy signals and market entry timing, establishment and management of stop losses, and how to employ a simple and disciplined trading approach that creates profits.

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