Trade Ideas
UOA PRO New Trade Idea XLY 7-23
20,000 18September 120 calls bought in one order/two prints for 0.60-0.65 above open interest of 7,868 contracts. Stock 108.66.
New Trade Idea
Ticker: XLY
Stock: 108.69
Trigger: 108.35
Targets/Resistance: 107.66, 106.34, 105.22, 103.25, 101.94, 100.07, 98.93
Expiration Date: 18SEP
UOA: 20,000 18September 120 calls bought in one order/two prints for 0.60-0.65 above open interest of 7,868 contracts. Stock 108.66.
XLY $108.67 Last.
Large Sept. set OTM call buy that could certainly be legit but we’re invoking editor’s license to shoe horn a sector bear idea in here. The XLY charts appear to be on the verge of a turn for even worse. Isssue here is that today’s XLY damage is so large that it is already deeply oversold on charts like the 4 hour. That could mean a bounce first, then a possible triggering and…that would actually be preferable.
From the SPYs bearside idea from earlier this week: “…HOWEVER, there’s other developments afoot that could be concerning and result in the market going “off script” with a sudden (and untimely for many) rug pull. We will place those charts in this post as reminders but with the $DXY, TNX & USD/JPY all moving up to near potentially concerning levels.
TTTrigger: $108.35, today’s current low.
Strategy 1: Consider the XLY 31July 107.50 puts for $3.35 projected at trigger level today.
Targets: 107.66, 106.34, 105.22, 103.25, 101.94, 100.07, 98.93