I'm entering short UAL due to the lack of "love" on earnings day. Which saw price climb to resistance at the $60.00 area, only to be swiftly sold off by sellers entering the market once again. The next day saw intra-day trading attempt another test of resistance, only to once again fail. Volume supports the movement, in other words sell side volume is greater than bid volume.
I've marked down on the chart the areas where price has been rejected by the overall descending trend line. Also marked is the counter trend line price action has been following for the month of July. If you go up to the weekly chart you will see a Weekly pinbar rejection of the horizontal / descending resistance.
The Position:
The Trade:
Enjoy your weekend, see you all on Monday! Cheers =)
Update: Short Entered Long AUG15 50STK Puts, Good Luck
I've marked down on the chart the areas where price has been rejected by the overall descending trend line. Also marked is the counter trend line price action has been following for the month of July. If you go up to the weekly chart you will see a Weekly pinbar rejection of the horizontal / descending resistance.
The Position:
- Long AUG15 50 Puts
The Trade:
- Exiting at a loss if we get a daily close above $61.00 (Marked by red horizontal trend line)
- Exiting in profit if price makes its way down to the $50.00 area
- Roughly 1:4.5 R/R Options Trade
Enjoy your weekend, see you all on Monday! Cheers =)
Update: Short Entered Long AUG15 50STK Puts, Good Luck