Buy Alert: July 6, 2016

| July 6, 2016

Buy Alert:  July 6, 2016

 

Trade Details

Buy Western Digital (WDC) August 19th $40 Puts for $1.45 or better

 

Why?

I actually like WDC in the long-run.  However, current market conditions have me a bit worried about a pullback, and WDC has short-term selloff potential.  If the stock breaks below current support levels, it could drop substantially lower.  A broad-market selloff could easily be the catalyst for a breach in support.

Let’s buy WDC August puts.  First exit point for profit-taking is at $40.  For aggressive traders, you can hold to $37.  The first risk-control point is at $49.  Aggressive traders can hold to $52.

 

Recent Activity

Western Digital

 

Category: OTW Buy Alerts