We mentioned last week we had a few trades that would come down to the wire as August options expire this Friday. This trade was down 36% coming into the week but we believed in our chart work and said if shares could trip $10.50, we should be able to get out for a double-digit profit. Bingo.
Shares are up 3% to $10.77 and our options are now UP 36% as they are up nearly 88% on today’s move in the stock. While there could be further gains in our August calls, we are going to ring the register and take profits at current levels. We still have a position in the November call options so we will still benefit if shares continue higher.
This is our 12th-straight winning trade since early July and we are in the process of building out our next batch of trades into September and October. The next 3 weeks could be special if we are correct on predicting the market’s next trend.
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