Citi (C) has just made a Golden Cross (50d SMA crossing 200d SMA). The crosses in Sep 12 and Sep 16 were followed by 75%+ increases in price, so this is primarily a Golden Cross trade. The price/action into the Sep 16 GC is very similar to that from Jan 18.
Also the bullish consolidation into earnings, followed by the pullback on account of the macro market and...
Citigroup has a pre earnings run pattern which tends to be caused by Pro Traders setting up to take advantage of the earnings reaction. The company will report its 1st quarter earnings on Monday. C had a reactionary gap up at open caused by the JPM gap today. It formed an indecision day candle rapidly. The early gap could interfere with the technical patterns for...
C Citigroup - weekly zoom out
Range 55 - 69
resistance test at mean ~ 63
low volume and momentum indicating down trend
VOL ATR - SHORT
macro sentiment unclear
short term neutral, long term bearish idea
next resistance up ~ 69
support at 55 and then down 48
Citigroup reported ahead of open today which indicates it hoped that the market open would inspire buying of its shares of stock. HFTs are set to trigger on earnings news. How it might gap depends on the algorithm focus, retail crowd reactions, retail broker expectations, and the triggers set ahead of open. C has the same negative divergence as AAPL has on the...
Regardless of earnings numbers.
The Citigroup chart is setting up bearish. Every indicator is pointing down and the bearish sentiment that Citigroup has on its chart is in line with the rest of the market.
Although the earnings season has already kicked off modestly, a bevvy of financials announce next week: C, JPM, and WFC (all on Friday). I generally don't play these underlyings for volatility contraction around earnings primarily because the implied volatility just doesn't ramp up to the degree I'd like to see for a play. I thought I'd mention them here since...
$C Citigroup has formed what appears to be a rounding bottom, with price and 50d ema now back above the 200d I'm expecting follow through back up to $80 (at least) by mid-November. Note: Earnings next week.
Note: Informational analysis, not investment advice.
For those following the Financial Sector two big dates are coming up fast for Citigroup ($C): The 26th of September next week, when the Fed decides rate raising (decreasing/no hike) and mid October when $C and other banks report earnings.
The Sept 21 - $72 strike was just too tempting at $0.20/contract. Now that Citigroup, $XLF and the market in general is...