DCG Friday Market Recap & AI SWING TRADE ALERT

A.I. Trade Alert Breakdown

Author

Jamar James
December 20, 2024

December 21, 2024

Summary of Some Of Our A.I. Gains This Week:

  • RCAT: $1.30 gain per contract (260% gain).

  • ACHR: $1.15 gain per contract (153.33% gain).

  • QUBT: $6.35 gain per contract (218.97% gain).

  • OKLO: $3.25 gain per contract (162.5% gain).

We Win Together! Nice Plays Guys!

AI TRADE BREAKDOWN - DCG FREEBIE AI ALERT

Every day we use A.I. to identify the best trades, day trades and swing trades for all markets. We you join the DCG Mastermind, you get access to real time analysis, reviewed by all at the same time. Do you need access to our DCG Mastermind AI Trading Scout? If so, reach out! TPR is a trade we will be prepared to take next week! Lets execute and get paid!

Analysis of TPR (Tapestry Inc.)

Market Overview:

  1. Current Price: $64.15

  2. Sector Sentiment: Bullish momentum observed, particularly after Capri's acquisition was blocked. Analysts forecast strong potential with notable upgrades from Jefferies and JPM.

  3. Key Catalysts:

    • Strong operational performance with record gross margins.

    • Positive long-term growth strategy targeting Gen Z and Millennials.

    • Upcoming earnings in February 2025.

    • Significant institutional activity in options, particularly bullish bets (e.g., 2,500 February $65 calls purchased on 12/2).

  1. Notable Trades:

    • February $65 calls: Heavy buying activity, with open interest increasing significantly. Indicates a bullish outlook for near-term price targets of $65-$75.

    • May and January $57.50 puts sold to open: Suggests strong downside protection with limited bearish sentiment.

    • Historical open interest on January 2026 $45 calls, up 360%, showcases confidence in the long-term upside.

  2. Gamma Condition:

    • Bullish Gamma dominance around $65, suggesting a strong resistance level. A breakout above this level could trigger further momentum.

    • Downside support at $57.50 based on institutional selling of puts.

Trade Identification and Probability Score:

  1. Major Inception Point: $63.85 (aligned with Fibonacci 1.618 retracement level).

  2. Bullish Scenario:

    • Entry: Above $65.

    • Target: $75.

    • Stop Loss: $62.50.

    • Confidence: 90% (based on Gamma positioning and institutional flows).

  3. Bearish Scenario:

    • Entry: Below $61.50 (breaking ATR-100% support).

    • Target: $57.50.

    • Stop Loss: $64.

    • Confidence: 85%.

Profitability, Risk Assessment, and Trade Rating:

  1. Profit Potential:

    • Upside to $75: Significant upside (17%) from the current price level, supported by technical patterns and options activity.

    • Downside to $57.50: Limited downside potential (~10%), with strong put writing at $57.50.

  2. Trade Rating:

    • Bullish Scenario: 9/10.

    • Bearish Scenario: 8/10.

Execution:

  1. Day Trade:

    • Strategy: Buy February $65 calls if price breaks above $65 intraday.

    • Target: Sell at $70-$72.

    • Stop Loss: Exit if price falls below $63.

  2. Swing Trade:

    • Strategy: Long February $65 calls.

    • Entry: $64.15.

    • Target: $75.

    • Stop Loss: $62.

Final Recommendations:

  1. Day Trade Opportunity:

    • Buy Trigger: Above $65.

    • Target: $70-$72.

    • Probability of Success: 90%.

  2. Swing Trade Opportunity:

    • Long Trigger: Current price $64.15.

    • Target: $75.

    • Probability of Success: 85%.

Key Insights:

  • TPR shows strong bullish sentiment from institutional investors, evidenced by heavy call buying and put selling.

  • Major catalysts, such as upcoming earnings and improving operational metrics, align with a potential rally to $75.

  • Risks include general market volatility and failure to break above the $65 resistance.

IMAGINE THE SUCCESS GETTING TRADES PRESENTED LIKE THIS EVERYDAY!

SOME OF THE RESULTS FROM THIS WEEK BELOW!

SPX ODTE CALLS ON FRIDAY

FUTURE TRADERS THIS WEEK

TRADE BOTH WAYS WITH THE MASTERMIND REPORT

DCG MASTERMIND BULL AND BEAR CALENDAR FOR THE MONTH OF DECEMBER!

December Monthly Calendar!

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