BREAKING NEWS: Stocks Start December With More Gains
Toggle navigation
About Us
Who We Are
About Bernie Schaeffer
Our Newsroom
FAQ
Contact Us
Corrections
Ethics & Fact Checks Policy
Market News
Sign Up for Free Market Newsletters
Opening View
Midday Market Check
Market Recap
View All Free Subscriptions
Schaeffer's Volatility Scorecard
Featured Publication
From the Top
Monday Morning Outlook
Indicator of the Week
Editor's Picks
View All
Trading Analysis
Best & Worst Stocks
Earnings Preview
Investor Sentiment
Quantitative Analysis
Technical Analysis
VIX & Volatility
View All
Stock Options
Intraday Options Activity
Most Active Options
Trade Postmortems
Options Recommendations
View All
Trading Education
Strategies & Concepts
Expectational Analysis
View All
Market News
Buzz Stocks
Stocks on the Move
Analyst Update
5 Minute Market Rundown
Stock Market Podcasts
View All
Daily Market Newsletters
Opening View
Midday Market Check
Market Recap
View All
Trade Alerts
All Trading Services
Most Popular Services
Elite Trader
Quick-Hit Trader
Lightning Trader
Ultimate Trader
View All
Directional Trading
Options Under $5
Leverage
Weekly Options Trader
Event Trader
PowerTrend
Schaeffer's Players
Overnight Trader
View All
Advanced Trading Alerts
Wealthbuilder
Premium Trader
Hedge Hunter
Volatility Trader
Weekly Volatility Trader
View All
Weekend Alert
Weekend Player
Weekend Trader Alert
Expiration Week Countdown
Weekly Options Countdown
View All
Newsletter Trading Services
Master Portfolio
The Option Advisor
Schaeffer's Daily Bulletin
View All
Courses & Education
Getting Started with Options
View All
Options 101
Deals
Deal of the Week
Broker Center
Free Trial
Log-In
Search
E-Commerce Stock Looks Like a Winning Pre-Holiday Buy
A confluence of rising moving averages could act as support
Research Dept.
Nov 22, 2022 at 11:19 AM
ETSY
ETSY could benefit from a sentiment shift in the options pits
E-commerce name
Etsy Inc (NASDAQ: ETSY)
is breaking out in a cup and handle pattern, and retested its breakout to close out the week as it pushed above its year-to-date breakeven level. A confluence of rising moving averages linger below to support the shares, which also broke above their year-to-date average volume-weighted average price (VWAP). Plus, the equity is trading at seven times is initial public offering (IPO) price of $112, while the -50% year-to-date region could at as support in the event of a trend change.
Analysts lean mostly bearish on Etsy stock, meaning the security could benefit from a shift in sentiment. Of the 27 firms in coverage, 14 still carry a tepid "hold" or worse rating. Plus, shorts are in covering mode, and short interest makes up 9.9% of ETSY’s available float.
Additional tailwinds could come from a shift in the options pits. This is per the stock’s 50-day put/call volume ratio of 1.53 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which is rolling over from all-time-high levels. Rollovers above 1.0 have previously been bullish for the equity.
It's also worth noting the ETSY’s Schaeffer's Volatility Scorecard (SVS) stands at an elevated 83 out of 100. This means the equity has exceeded options traders' volatility expectations during the past year. Our recommended January 2023 call has a leverage ratio of 4.9, and will double in value on a 21.8% pop in the underlying shares.
Subscribers to Schaeffer's Weekend Trader options recommendation service received this ETSY commentary on Sunday night, along with a detailed options trade recommendation -- including complete entry and exit parameters. Learn more about why
Weekend Trader
is one of our most popular options trading services.
Follow @Schaeffers
*SPONSORED CONTENT*
How to collect 1 dividend check every day for LIFE
Did you know you could collect 1 dividend check every day the market is open? You could also do it starting with just $605!
For me, I'm collecting 70 dividend checks every quarter
…which averages around 1.1 dividend checks every business day. There's no trading behind this... no penny stocks or high-risk investments. All you do is buy and hold and you're set. There's no set up required either. If you start buying the dividend stocks I show you today... you could collect 1 dividend per day starting as early as this week.
Click here for all the details.
*SPONSORED CONTENT*
Don't Miss A Single Market Update!
Don't Miss Any Updates!
Get our unique market analysis and news delivered straight to your inbox
Unique market analysis and news directly in your inbox
Subscribe to...
Opening View
:
critical trading analysis before the market opens
before the market opens
Midday Market Check
:
midday check-in on the day’s trading session
midday check-in
Market Recap
:
complete trading day summary after the market close
after the market close
Monday Morning Outlook
:
analyzing the current market climate
current market analysis
5-Minute Market Rundown
:
quick rundown of last week’s trading sessions
last week’s rundown
Email Address:
Click to add
(?)
Submit
LIVE Trading Closeout Tracker
Weekly Options Countdown Plus
RBLX
Call
+201%!
Profit taken 12/1
Volatility Trader
ENPH
Straddle
+157%!
Profit taken 12/1
Weekly Options Trader
COIN
Call
+269%!
Profit taken 11/22
Leverage Trader
TOL
Call
+119%!
Profit taken 11/24
Option Advisor
CBOE
Call
+100%!
Profit taken 11/21
Options Under $5
TOL
Call
+223%!
Profit taken 11/14
Expiration Week Countdown
DASH
Call
+203%!
Profit taken 11/14
Expiration Week Countdown
CVNA
Call
+200%!
Profit taken 11/14
PowerTrend
ANF
Call
+161%!
Profit taken 11/14
In The Money Countdown
AMD
Call
+100%!
Profit taken 11/10