NAIL Forecast + Trading Strategies


Bullish Case: NAIL's recent price momentum, low inventory levels, and easing inflation offer upside. NAIL has historically performed well in low volatility environments.


Bearish Case: High implied volatility and potential interest rate hikes may lead to a housing market slowdown. Falling homebuilder sentiment and overvalued current market pricing pose risks.


Potential Outcomes:

1. Bullish continuation (30%): Strong housing market data.

2. Sideways trend (45%): Mean reversion continues.

3. Bearish decline (25%): Rising interest rates dampen demand.


Trading Oracle: Consider a bearish short volatility strategy. Execute a credit spread by selling a $135.0 call and buying a $145.0 call expiring in ~2 days. This has a high probability of profit (61%) and positive Helium edge. Tight risk management ensures profitability.


July 18, 2024


Direxion Daily Homebuilders & Supplies Bull 3X Shares Forecast

NAIL      Direxion Daily Homebuilders & Supplies Bull 3X Shares











Correlated Assets

Assets that tend to move strongly with NAIL



ITB Forecast + Options Trading Strategies   ITB  BTC iShares U.S. Home Construction (0.97)


SHW Forecast + Options Trading Strategies   SHW  Sherwin-Williams (0.97)


MAS Forecast + Options Trading Strategies   MAS  Masco (0.96)


LEN Forecast + Options Trading Strategies   LEN  Lennar (0.96)


DHI Forecast + Options Trading Strategies   DHI  D.R. Horton (0.96)



Uncorrelated Assets

Assets with little price relationship to NAIL



SBAC Forecast + Options Trading Strategies   SBAC  SBA Communications (-0.0)


NVCR Forecast + Options Trading Strategies   NVCR  NovoCure (-0.0)


MRO Forecast + Options Trading Strategies   MRO  Marathon Oil (-0.0)


LULU Forecast + Options Trading Strategies   LULU  Lululemon Athletica inc. (0.01)


RLAY Forecast + Options Trading Strategies   RLAY  Relay Therapeutics (-0.01)



Anticorrelated Assets

Assets that tend to move strongly against NAIL



DRV Forecast + Options Trading Strategies   DRV  Direxion Daily Real Estate Bear 3X Shares (-0.82)


DXD Forecast + Options Trading Strategies   DXD  ProShares UltraShort Dow30 (-0.87)


TZA Forecast + Options Trading Strategies   TZA  Direxion Daily Small Cap Bear 3X Shares (-0.89)


RWM Forecast + Options Trading Strategies   RWM  ProShares Trust - ProShares Short Russell2000 (-0.9)


SARK Forecast + Options Trading Strategies   SARK  Tuttle Capital Short Innovation (-0.9)





Become a more profitable investor with AI optimized trading strategies






×

Chat with NAIL


 Ask any question about NAIL!