NEW DIRECTIONAL PUT PLAYS
FedEx Corp. - FDX - close: 94.71 change: -1.62
Stop Loss: 96.25
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below
Why We Like It:
The transportation sector was one of the market's worst performers. Worries about a slowdown in global growth and U.S. growth do not bode well for transportation companies. The Dow Jones Transportation Average gave back -3.8%. It looks like the up trend is broken. Meanwhile the up trend in FDX was broken a few weeks ago. Shares only lost -1.6% today but FDX is sitting on support near $94.00 and its simple 200-dma near $93.75.
I am suggesting a trigger to launch bearish positions at $93.50. If triggered our target is $86.50.
Trigger @ $93.50
- Suggested Positions -
buy the May $92.50 PUT (FDX1318Q92.5) current ask $1.57
Entry on April -- at $---.--
Average Daily Volume = 3.3 million
Listed on April 15 2013