(www.tradingview.com/x/3Wivy81M/)
Status: Open 03/06/2020
Idea: Selling company shares through the purchase of Put options
Expiration Date: 10/16/20
Strike: $190.00
Target price: $157
Max price: $1400
Option target price: $4200
Risk/Reward Ratio: 1/3
Position volume: no more than 5% of the Deposit
(www.marketwatch.com/...ion/WIX#V1620C190000)
Recently, the market capitalization of companies has reached its historical maximum, despite low fundamental indicators. According to the chart, the share price has reached the upper limit of its trading corridor, which is technically a signal to short. The formal reason for the fall in the price of WIX quotes may be the trade war between the United States and China, which in General will negatively affect the IT sector. Also, at the moment, most of the macroeconomic data indicate the possibility of a long-term recession of the world economy. Thus, the shares of this company have increased risks of falling prices and insignificant prospects for its further growth.
Status: Open 03/06/2020
Idea: Selling company shares through the purchase of Put options
Expiration Date: 10/16/20
Strike: $190.00
Target price: $157
Max price: $1400
Option target price: $4200
Risk/Reward Ratio: 1/3
Position volume: no more than 5% of the Deposit
(www.marketwatch.com/...ion/WIX#V1620C190000)
Recently, the market capitalization of companies has reached its historical maximum, despite low fundamental indicators. According to the chart, the share price has reached the upper limit of its trading corridor, which is technically a signal to short. The formal reason for the fall in the price of WIX quotes may be the trade war between the United States and China, which in General will negatively affect the IT sector. Also, at the moment, most of the macroeconomic data indicate the possibility of a long-term recession of the world economy. Thus, the shares of this company have increased risks of falling prices and insignificant prospects for its further growth.