Biggest mover of Friday 20-1-23. I noticed the high elevated volume and earnings beat but I chose to prepare and watch only two, more familiar names; NFLX and SLB.

2. Positive Earnings
reaction
Catalyst: Earnings beat
Setup: Positive earnings reaction
Trades: OR B, & Trend PB
Ticker: ALLY
Date: 23-1-23

3. Bigger picture: QQQ/SPY and VIX
SPY & QQQ
SPY and q’s both had small
range days and held below
the 50SMA. First sign of
weakness. Currently they
are gapping up 0.3%, 2
points from yesterday’s low.
Both stocks reclaimed the
50SMA and trended all day.
VIX level : 20.
VIX opened around 20
which means we’re in a
high volatility environment.

4. Catalyst &
Fundamentals
Catalyst: Earnings beat.
Setup: Positive earnings reaction.
Premarket pre buzz: 12%.
Float: 296 million.
Institutional Ownership: 94,6 million.
Short %: 5,48%
ATR: ,94.
Average Daily volume (50 day): 5,2 million.
Daily volume: 33.5 million.
Gap%/Gap ATR: 11% / 3ATR
RVOL: >3

5. Positive
earnings
reaction– Trade
Strategy
Catalyst, setup, technicals & volume.
Catalyst and setup match very well. The gap (positive reaction) is large (10%) but it's not
too extreme for a lower priced stock. Not overextended. Technicals are strong as well:
-Broke out of large down channel.
-Pulled back into 50SMA.
-Gapped up and broke high of pull in.
This setup also has high premarket volume, so we have.
1) Strong setup and catalyst that aligned;
2) Strong technicals;
3) High & elevated volume.
Everything is set up to make a big move to the upside.
Trade
On a strong stock like this I would be looking for trend trades but also OR BO’s and VWAP Pull
ins.

6. Daily chart
-Clear downtrend
channel where ALLY
retraces -40%.
-Stock breaks out of
channel on volume
and reclaims
50SMA.
-Pull in to 50 SMA
on shallow volume.
Strong technical
setup.

7. Technical Analysis:
Opening Range
breakout
Break down VWAP but holds OR.
Low volume into consolidation
Trend/BO starts w/ low volume
reclaiming the 9EMA.
Elevated volume when opening
range breaks
Strong buying vol when
reclaiming VWAP

8. Technical
Analysis:
(HTF) Trend PB
10m holds above 9EMA,
5m holds above 20 EMA.
Shallow volume during PB
Pullback visible on multiple time
frames: 1m, 5m, 10m.
Bounce of key level: 108
Elevated volume when PB
starts to work.

9. What could I have done
better?
• I will now put more detail into the preparation and especially
whether the catalysts fits the setup. Given that technicals were
strong and ALLY had the highest premarket volume of my watchlist
this stock should have had the priority for my gameplan. I would
have prepared an OR BO or a potential opening drive. I am going to
do a catalyst + setup + technicals + volume analysis for ever stock
on my watchlist and then make a list for a deep dive. This will help
me to catch the biggest movers; I was too narrow minded by
focusing on more familiar names NFLX and SLB.