COIN, a broken stock on the daily, bounced out of it's downward channel and reclaimed the 50SMA. ARKK was also showing relative strenght which made it a solid market play as well. Strong trend day after a weaker open.

1. Bounce
continuation –
Market play
Catalyst: Relative strength to market
Setup: Bounce continuation
Trades: Trend PB
Ticker: COIN
Date: 12-1-23

2. Bigger picture: SPY and VIX
CPI data: in line 6.5%.
Jobless claims less than
expected.
Market breadth was very
positive after the close
yesterday.
SPY
Gapped up a little bid and
sold off hard. Then it
reclaimed and eventually
broke HOD. It didn’t have a
strong close.
VIX level : Opened above 20,
closed at 19!!
Be aware of potential change
of market environment!!

3. ARKK
Showing relative strength
to SPY and Q’s the couple
of days; Breakout of
potential bottom channel
was stronger.

4. Technical Analysis: Bounce continuation
Clear downtrend
channel on the daily
chart. -44% within
two months.
Bottom is formed.
Can’t make a new low
on elevated selling
volume.
Breaks out of channel
on volume.

5. Key levels
Support:
44: Yesterdays HOD 8/10. Infliction
price.
Resistance:
45,50: premarket high. 7,5/10.
46: HTF gap up level. 7/10.

6. Trend day–
Trade Strategy
Stock selection – Market play
-Elevated VIX : >20.
-ARKK gapping up and has potential to trend/close green.
-COIN showing relative strength to the market:
-Strong open.
-Elevated volume
Bounce continuation cue’s/variables
-Broke significant out of downtrend channel.
-Gaps up.
- Potential bottom on daily is in.
-Breaks out of downtrend channel.
-Reclaim of important levels: bottom range high 87.
-Extreme selling on the daily, stock bounced on CPI data in November but still trended lower. Not a
solid bounce
Trade2hold factors after 12:00
- Holding above significant support level: 43,80.
-Strong market. ARKK showing relative strength the couple of 4 days. It broke out of small bottom
range on clean volume..
-Market starts to trend intraday.
-Technical catalyst: Bounce continuation and break out of downtrend channel.
- Elevated RVOL, not extreme but was elevated.
--Trend PB.
- Room to trend on the daily: Yes, just broke out of down trend channel. Up +35% from the bottom at
the open. But the sell of this year on COIN has been massive. COIN has made bounces over 60-80%.
- Weak open but reclaims and trends.
-Room to trend intraday: 1.3ATR from LOD to HOD before PB occurs.

7. Catalyst &
Fundamentals
Catalyst: Markets are reclaiming negative open after CPI numbers.
ARKK is showing relative strength compared to ETF’s.
COIN is showing relative strength amongst all ARKK holdings.
Setup: Bounce continuation setup.
Float: 175 million.
Institutional Ownership: 59,3%
Short %: 22%
ATR: 3,30
Average Daily volume (50 day): 15,7 million.
Daily volume: 20,5 million.
Gap%/Gap ATR: 2,97% / 0,4ATR
RVOL: >2.

8. Technical
Analysis:
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: 55
Elevated volume when PB
starts to work.

9. ARKK vs COIN EOD Trend