NEW BEARISH Plays
Raymond James Financial - RJF - close: 40.04 change: -0.49
Stop Loss: 41.15
Current Gain/Loss: unopened
Entry on October -- at $--.--
Listed on October 08, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 931 thousand
New Positions: Yes, see below
Why We Like It:
RJF is in the investment brokerage industry. Financials as a group helped lead the market lower today. The financial sector is on the verge of breaking down below its long-term up trend. Unfortunately for RJF the stock has already broken its long-term up trend. Today's decline left RJF hovering above round-number support at $40.00. Further weakness from here could signal a drop toward the $36-34 zone.
I am suggesting a trigger to launch small bearish positions at $39.75. If triggered our target is $36.25. We do not want to hold over RJF's earnings expected in late October (no confirmed date yet). More conservative traders may want to wait for RJF to trade below its May 3rd intraday low of $39.31 before initiating new bearish positions.
Trigger @ 39.75 *small positions*
Suggested Position: short RJF stock @ (trigger)
- (or for more adventurous traders, try this option) -
Buy the NOV $40 PUT (RJF1316w40) current ask $1.45