The option scoreboard on the blog is still under construction, but as of right now there is only one position allocated and that is the STLD Nov. 50 Puts.
This newest recommendation will make it two.
Buy AMGN Nov. 57 1/2 Puts @ 1.95 or better.
I say or better for the simple fact that we might see a bit of a reflex rally tomorrow and this will bring the price of the put options down a bit.
Keep a stop just about 3% above the blue line on the chart to protect against a move away from us.
This newest recommendation will make it two.
Buy AMGN Nov. 57 1/2 Puts @ 1.95 or better.
I say or better for the simple fact that we might see a bit of a reflex rally tomorrow and this will bring the price of the put options down a bit.
Keep a stop just about 3% above the blue line on the chart to protect against a move away from us.
The blue line is the neckline for an inverted head and shoulders with volume confirmation.
The volume confirmation of the pattern lends extra credence to the potential outcome.
An inverted head and shoulders is actually a bullish pattern that would call for higher prices once the neckline is broken, but a failure of the pattern is even stronger thus the negative allocation with the puts.
The head and shoulders pattern is one of the most reliable chart patterns there is and one that you should become familiar with. Print out this chart for future reference!
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