No position yet, but watching a few more charts showing similar inverted head and shoulder patterns to the names i’m currently long. Two of interest are $RBLX if tech can get moving, and $CARR. Both offer significant risk to reward back to necklines with stops beneath yesterday’s lows.
I’m already invested in $TSLA heavily in longer term accounts, but liked the price action enough today to pickup additional long exposure short-term. Grabbed the 23 SEP 273 CALLS late afternoon at $15.05 for an expected move higher into next week. Above $280 this name could quickly return to recent highs at $310. A full …
Reasons I like this trade: 1. Biotech sector has shown relative strength compared to the market this year. 2. Full rotation of stochastics to oversold conditions. 3. Picture perfect inverted head and shoulders formation seemingly forming, with right shoulder materializing. Position details: – Long 200 shares at $84.41 – Sold 2 SEP 30 $78 Puts …