Breakout in BA

[Steven Place]

 

 

Simple breakout trade in BA.

Trade: Long Jun 135/140 bull call spread for 1.05 or lower

Stop: 127.78

Adjustments: If we breakout quickly to 135, we will roll this trade into a butterfly spread.

[Steven Place]

BA Has hit it’s 2nd st dev bollinger band twice in a row, so it’s a touch overbought.

Sell 50% size at 1.50 or higher.

Will look to rebuy on a pullback.

[Steven Place]

Sell the second half of the trade at 1.56.

Theta risk is coming in and the stock just isn’t moving like it needs too. If it pulls back to its 20 day moving average I’ll look at July call spreads.

[Author]

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