EricBlack

CERN and possible path of price

BATS:CERN   Cerner Corporation
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CERN just reported earnings , it was the reaction that happened in the trading the day after that was noticed. Previously it appeared before earnings that the third point of the median line was established, and perhaps it was...however, today's action resulted in a wide range bar WRB where buyers showed up.

At this time, waiting for the price action to confirm this corner, if so, evaluating price action for an entry along the lower median line (ML) with a stop just under 52, and a first target near 60 and ultimately under 70 would give this trade an appropriate risk ratio above 3.

Unfortunately I bought a call spread before earnings . nevertheless, that trade was built around the expectation that volatility would happen. A better option structure for expanding volatility would be better.
Trade closed: stop reached