- TradingLab's Market Analysis
- Posts
- 🧪 Why Disney’s Down
🧪 Why Disney’s Down
Plus: Our ETHUSDT Play
Good Morning!
Today, we're diving into some of the hottest trades and trends that could make your portfolio. From UBS's unexpected profit surge to the Disney dip despite streaming gains, and the ongoing saga of Peloton's downfall, we've got the scoop.
Plus, don't miss our feature on Sterling Infrastructure’s (STRL) swing trade post-earnings beat, and why it might just be the opportunity you've been waiting for. And for the crypto enthusiasts, we're breaking down a potential bullish play on Ethereum that could leverage the SEC's hesitancy into your gain. Stick with us to stay ahead of the curve.
Let’s get into it 👇
🌡 Market Temperature Check
📈 Stock Catalyst
Sterling Infrastructure ($STRL) Swing Trade Breakdown
The Play
Mr. M from our TradingLab community has scouted a swing trade that's too tempting to ignore. Here’s the breakdown:
Entry: $120
Profit Levels: $123, $125, $128, $130, $133, $136, $140, $144+
Stop Loss: $109
The Catalyst
Last quarter, Sterling Infrastructure (NASDAQ: STRL) smashed Wall Street predictions and boosted its full-year outlook. Earnings per share surged to $1 on revenue of $440.4 million, vastly outpacing the estimated $0.77 per share on $412 million revenue.
This represents a 9% year-over-year revenue increase, with gross margins widening by 220 basis points to an impressive 17.5%. Despite challenging weather at the start of the year, which delayed some projects, the company’s strong performance fueled a 15% rally in its stock price in just one morning.
Our Take
Why is STRL a buy? Simply put, the numbers speak for themselves. With consistent earnings beat and an upward revision in guidance, STRL is showing it isn’t just surviving; it’s thriving.
Focusing on high-demand areas like warehouses and data centers, the company is strategically positioned in markets that promise robust growth. The clear upward trajectory in the stock’s price following the earnings release confirms that the market recognizes this potential too.
Considering the strong fundamentals and recent performance spikes, Mr. M’s entry and target levels are well-calculated, offering a compelling risk/reward ratio.
If you’re not already tuning into his insights, you might be missing out on prime opportunities like this one.
👾 Crypto Catalyst
Our Analyst’s ETH/USDT Long Play
The Play
One of our top Analysts, Hayden, has his eyes on the horizon for a solid entry into Ethereum (ETH/USDT) with a long position. The game plan is as follows:
Entry: 2978 - 3081
Stoploss: 2849
Take Profit 1: 3242
Take Profit 2: 3632
Take Profit 3: 4099
Using 2% of the portfolio and 10x leverage.
Stoploss will be updated after TP1.
The Catalyst
The U.S. Securities and Exchange Commission is, as expected, dragging its feet on the Invesco Galaxy Ethereum exchange-traded fund decision. It’s déjà vu all over again, folks.
The SEC pulled the same stunt with Bitcoin, repeatedly delaying the ETF decision, which ultimately gave birth to a longer-term narrative.
At the same time, Ethereum is sitting pretty in a sideways consolidation phase, hovering around the critical $3K support level. The stars seem to align for accumulation, which might just be the signal for a powerful bullish resurgence in the short term.
Our Take
We're seeing some promising signs for Ethereum.
The current consolidation phase hints at a potential breakout, and the SEC’s delay, while frustrating, mirrors what we saw with Bitcoin before it took off. This play offers a strong risk-to-reward ratio, especially with the stoploss strategy Hayden is employing.
Given the potential bullish resurgence and the catalyst on the horizon, we’re leaning toward a strong buy on this one.
It’s all about timing and execution, and our community is poised to seize this opportunity when it comes knocking.
✍ TL;DR
Sterling Infrastructure (STRL) Swing Trade:
Entry Point: $120
Profit Targets: $123, $125, $128, $130, $133, $136, $140, $144+
Stop Loss: $109
Catalyst: Earnings beat with a 9% year-over-year revenue increase and a positive full-year outlook adjustment.
Ethereum (ETH/USDT) Long Position:
Entry Range: 2978 - 3081
Stop Loss: 2849
Take Profit Points: 3242, 3632, 4099
Catalyst: Anticipated bullish movement due to SEC’s delay on ETF decisions, mirroring past Bitcoin trends.
Stay ahead, stay informed, and most importantly, stay profitable.
‘til next time,
TradingLab
