ZM has recently hit all time highs @ 135.98 followed by a gradual decline to 130.55.
We see a clear divergence in trend between stock (white arrow), MACD, and RSI (red arrows).
There is an opportunity to scalp puts to 121.87, before going long to 114 (see 15M chart)
- I plan to buy ITM puts if ZM breaks and holds below 127.99 and TP profits at 40% profit or 121.87 depending on variables - volume, reversal candlestick formation, etc.
Now in regards to the analysis done on this 4HR chart, 121.87 seems to be a strong resistance-turned-support line. ZM can either bounce and reverse or break 121.87 proving a good opportunity to short the stock to 114.01.
- If ZM breaks and holds below 121.87 with volume, I could enter puts with delta of .04 and an expiration 2 weeks out.
We see a clear divergence in trend between stock (white arrow), MACD, and RSI (red arrows).
There is an opportunity to scalp puts to 121.87, before going long to 114 (see 15M chart)
- I plan to buy ITM puts if ZM breaks and holds below 127.99 and TP profits at 40% profit or 121.87 depending on variables - volume, reversal candlestick formation, etc.
Now in regards to the analysis done on this 4HR chart, 121.87 seems to be a strong resistance-turned-support line. ZM can either bounce and reverse or break 121.87 proving a good opportunity to short the stock to 114.01.
- If ZM breaks and holds below 121.87 with volume, I could enter puts with delta of .04 and an expiration 2 weeks out.