Price Break gives a 50% Option Gain in $BABA

In our LightHouse Point Platinum Options Trading Service we talked about the stock Alibaba($BABA).

After watching the trend and the Chinese stock ETF, $FXI,  we suggested simple targets for $BABA if the stock were to break it’s 100 day Simple Moving Average(Upper Yellow circle).  The stock then proceeded to drop to our first target $168.58 (higher horizontal red line) which gave a gain of about $3.60.  The next day the stock dropped through our second target of  $166.79 (lower horizontal red line) for another gain of $1.79.

Some of our subscribers took advantage of this move to realize over a 50% profit on their puts options in 2 days.