Over the next few days I feel that SPCE will have a lower high then volatility contraction. This is similar to what we saw with tesla, when it went up quickly over two days, came down over the next two days, then consolidated, and finally started its uptrend again. This will likely happen to virgin galactic too, and we'll see major volatility contraction, making it a great time to short premium. If SPCE has a dogi candle on the daily by the end of today, it shows that the bulls don't have as much power as they use too, and that the bears are putting up a good fight and not letting it go above the next resistance. From there it will likely go down 20%, then have consolidation. In the link to the video below, I highlight the current trade setup, and what adjustments I will make to it. The video will be in the link to related ideas, but if you can't find it there I will put it in the comment section of this post too.
Trade for now: Short ATM calls, April expiration.
Trade for now: Short ATM calls, April expiration.
