Option Traders play Break in Support in $BA

Option traders often focus on break of a support or resistance line to show the change in momentum.

When you can find an opportunity where there is a break of two lines then it adds even more confidence to the trade direction.

A good example was from a stock in our Lighthouse Point Options Service where we spotted Boeing($BA).

The stock was breaking a short term uptrend and looks like it could break the 50 day simple moving average.  In combination with this break we had a support line of recent support/resistance areas.

Our subscribers were able to take advantage of this move and break in support with puts and lock in profits.

You can see in the chart below that option traders could have taken advantage of the 50 day SMA break then have confirmation of the horizontal support area.  This area is highlighted in the yellow circle in the chart below.

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