Here's another elevator shaft that provides an example of
options trading that may be helpful. Thanks to Steve, who posted on
the unusual options activity on 7/11, I looked at the group and the
stock and decided to buy calls outright. However, going out to
today's expiration didn't cost that much more and I try to err on
the side of time.
After the gap & go on 7/26, I moved a mental stop to half of
the gains, which would likely require more than just a 9 MA or even
50 MA RTM in an A-B-C setup.
That turned out to be the case and the C leg was strong &
clean (closes above the 5 MA with no days that would point to a
stop).
The doji after touching the 200 MA was followed by the kind of
breakthrough day with divergences that did warrant a stop at 50% of
that candle. Then the next day's doji got me to sell on that day,
as the options were down to 3 DTE.
Thanks again, Steve. That was a big win.
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Here's another elevator shaft that
MPEL huge July 29th Strike 13 Call Buyers
Posted by a_l_ on 19th of Aug 2016 at 03:17 pm
Here's another elevator shaft that provides an example of options trading that may be helpful. Thanks to Steve, who posted on the unusual options activity on 7/11, I looked at the group and the stock and decided to buy calls outright. However, going out to today's expiration didn't cost that much more and I try to err on the side of time.
After the gap & go on 7/26, I moved a mental stop to half of the gains, which would likely require more than just a 9 MA or even 50 MA RTM in an A-B-C setup.
That turned out to be the case and the C leg was strong & clean (closes above the 5 MA with no days that would point to a stop).
The doji after touching the 200 MA was followed by the kind of breakthrough day with divergences that did warrant a stop at 50% of that candle. Then the next day's doji got me to sell on that day, as the options were down to 3 DTE.
Thanks again, Steve. That was a big win.