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Home › Forums › Swing Trades › Pullback Trade in FB
One of the strongest stocks in the market is finally seeing some weakness here.
It’s got a gap fill at 90.85 and is right at its lower Bollinger Bands.
Here’s the trade, we’re scaling in as the momentum on the overall market is clearly to the downside:
Sell to open FB Sep 85/80 Bull Put Spread @.80
Add at 1.20
Add at 1.70
Going to roll this out to October and double size.
Buy to Close FB Sep 85/80 Put Spread @2.33
Sell to Open 2x FB Oct 75/70 Put Spread @1.18
By doubling size it adds more max risk but also helps with the cost of the roll.
If the spread value goes down to .50 I will cut size in half with intent to re-add.
I’m not adding any more risk to this trade due to increased market vol.
Buying back half of the spread here at .50
I will re-enter that half at 1.20
Buying back rest of spread at .23
Buy to Close FB Oct 75/70 Put Spread @0.23
Will Reenter back at .80.