TopOptionAlert
$UAL OCT23 100C · still actionable
Zone: $94.93 to $96.27
Invalidation: close under $93.34
Objectives: $102, then $108
The math: up 6.7% to the first objective and 13.0% to the second, against 2.4% risk on the invalidation, better than 5 to 1 to the second
Dear friend, picture a plane that has been pushed back from the gate again and again while the passengers grumble, and you get this swing setup. United closed Monday at $95.60, down only a little on the day after falling about 11 percent in five sessions, and buyers held the $95.27 low, so the selling slowed right where it had to. Earnings come tonight after the close, and what that means is the worry is already in the price before the report, with room back toward $102 first if the numbers simply meet the moment. A close under $93.34 says the floor gave way and you step aside.
P.S. Watch $98.13 on Tuesday. It was the high on Monday, and a close over it would show buyers pressing into the report, not just holding the low.
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