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MoneyPatterns
Jan 12, 2020 11:48 PM

SHAK – Bullish Gap Fill - Real Meat Gets Bullish Long

Shake Shack, Inc.NYSE

Description

Trade Entry
Feb. 14 Expiry. Put Credit Spread. 59/64 Strikes. Credit of $3.00 (no lower than $2.90)
Risk $210. Reward $290-$300. POP - 65%

Chart Details
Large $10 gap from $71-$81. This must get filled IMO.
White trendline is stop. Break of white trendline and trade above is invalid ($59.50 or less).
Bullish EMA cross just occurred last Friday, 1/10.
Bullish 10WeekMA price cross with Bullish EMA Cross is 80% guaranteed or greater IMO.
Earnings play. Expected reporting date may be Feb. 24, not March. 3 (as shown on TradingView). Need to confirm as we get nearer. Source Zacks- zacks.com/stock/quote/SHAK?q=shak

Credit to Bullishcharts for this idea after discussing BYND .
Maybe we can both profit off a real meat rally, just like we did off the fake meat rally. LOL

I will update if I enter this trade personally. If I enter personally, I will provide updates as we go :)

About Me
Thank you for liking, commenting, throwing up a chart, following, or viewing.
I am not a financial advisor. My comments and reviews are based on what I do with my personal accounts.
Website will be ready for launch mid-January 2020.
Disclosure - I am long BTCUSD, GBTC. Short term GDX Bullish, SPXS Bullish, MCD Bullish

Trade closed: target reached

Opening order credit of $3.20. 2 Contracts. Close order $1.44.
Profit $349.05 on 2 contract spread. 1 day hold.
Comments
The_Unwind
$60 area was, is once again Point of Control for SHAK.
Trading pattern should continue around that number, till their next earnings release,
which ALWAYS moves SHAK substantially !
MoneyPatterns
@The_Unwind, Funny how we look at this very similar. :)
Still waiting for definite confirmation. Think this will happen this week.
Got a few other rods in the fire I need to pull out first.
DIS, MCD and ACB are my bearish plays currently.
LEVI and SPXS are my bullish plays for next few weeks.

Good luck out there. Hope you are getting warmer in your area....finally. No more polar vortex LOL
BobbyBanksX
On the 14th, by 1:57PM, across two orders, I was able to build a position with an average entry around ($3.27).
In less than 24 hours, on the 15th, at 8:48 AM, I bought to close this put credit spread at ($1.38).

+$1.89 profit per spread.

Thank you, @MoneyPatterns.
BobbyBanksX
Youngsters need their $8 hamburgers and $5 french fries!

If this is anything like BYND, we are in for a treat! Count me in.
MoneyPatterns
@TuParkShakur, Let's do a comparison. Except not for taste. For profits! LOL.
For some reason I think fake meat will do better....:D
BobbyBanksX
@MoneyPatterns, agreed. Fake meat burgers have the hype behind it, and BYND killed it last week. Shake Shack is so 2010s.

Damn, I sound like a boomer...
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