Add WHR Calls
Playing an Upside Run
PLAY: Buy the WHR February 85 Calls (OFW BQ) at or under $3.70, good for the day. Place a protective stop limit at $2.20 and a pre-determined sniper sell at $6.00.
Dear Bottarelli Research Member,
Very quietly, one of the strongest chart formations has come from major appliance maker Whirlpool (WHR – NYSE). As you can see below, the stock has been engaged in a very strong upside trend, which is something that I’d like to jump onboard right now. With appliance sales picking up at stores like Best Buy, and very early signs that the housing market could be thawing out, it’s clear that WHR’s upside trend is one we can play over and over again. Let’s add February calls and ride the upside momentum now!
PLAY: Buy the WHR February 85 Calls (OFW BQ) at or under $3.70, good for the day. Place a protective stop limit at $2.20 and a pre-determined sniper sell at $6.00.
Also on my radar screen is FedEx (FDX – NYSE). Today, shares of United Parcel Service (UPS – NYSE) are spiking to a new 52-week high on the news that they’ve raised their outlook in combination of cutting jobs. You can see the reaction in UPS shares below:
But on the flip-side, FDX is nowhere close to a new 52-week high. In my view, what’s good for UPS should certainly be good for FDX, and this offers us an interesting opportunity. If FDX begins to bounce off the 50-day moving average, we could have a nice call play. More to come.
Until then…
Lock and load!
Sincerely,
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