Review of Session: New weekly lows were bought with strength over lunch and leave us with a chance to start moving higher.
Next Session: Equities look for Monday to be a bottom with Chairman Powell on deck.
From the Quicksheet: Snapchat is on the Quicksheet. They put in strong buying excess on Monday. They have a profile target above at 47 that would take them into balance. IV rank is high, so premiums are elevated. When an auction is ready to balance, it’s a great time to think about a neutral strategy. Suppose you wanted to create an idea from this…
|OPPORTUNITY?||SNAP begins balancing in a range between 40 and 47|
|IDEA?||Long SNAP stock or short put spreads|
|RISK?||$40/share is risk|
|HOW WILL I KNOW THAT I’M RIGHT?||SNAP holds $40 and continues higher to $47|
|HOW WILL I KNOW THAT I’M WRONG?||Auction quickly returns below $40/share|
TO FIND OTHER IDEAS LIKE THIS: