Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.
Here’s a very simple shorting opportunity in a name that we all know well. This is a bear market, I’ve been very clear about that for months. The majority of stocks have already fallen more than 10-15% from their recent highs, and in some cases a lot more. But there are a few names that have held in there despite the major U.S. Stock Market indexes falling completely apart.
Today I want to focus on Dr Pepper Snapple $DPS, a stock that is putting in bearish momentum divergences on both weekly and daily timeframes. To me, this is a great recipe for a nice correction. If the risk vs reward is in favor of the bears, I’m all over it. In this case, I think it is.
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Here is a look at the weekly timeframe for $DPS where momentum put in a much lower high while prices made new all-time highs in the 4th quarter. This is warning number one, which comes from a more structural perspective:
Now that we know that we could have a problem here structurally, we want to look at a daily timeframe for execution and risk management purposes. Look at this chart below. To me, this screams failed breakout, bearish momentum divergence, and a very clean risk vs reward opportunity on the short side:
We broke out in December above the October highs, hung out there for a bit, and then failed to start 2016. This $91 is the line in the sand. As long as price is below $91 we want to be very aggressively short with a target under $80. Anything above $91 and there is no reason to be short. That skews the risk vs reward very much in favor of the bears.
I like it short.
This was originally shared on All Star Charts
Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.