Trade Summary: February 6, 2017

| February 6, 2017

February 6, 2017

 

Trade Rationale

In the last few weeks, we’ve seen a number of big events transpire… we welcomed a new president to the White House… crossed above 20,000 on the Dow… then fell below the 20,000 mark… and now we’re back above 20,000!

Economic data continues to look strong… and the recent jobs report has everyone on an economic high.

We’re seeing some initial strength in the retailers, and we’re going to do another run of the retailers and build on their strength.

So let’s get long a handful of retail plays…

 

Trade Details

#1) Buy Ross Stores (ROST) Mar 17th $67.50 Calls up to $1.55

We want ROST to move higher… Profit exit points are $47 and $49.  Exit at $41 or $40 to conserve capital.

Ross Stores

#2) Buy Macy’s (M) Mar 17th $33 Calls up to $2.00

Take profits if M trades above $38, or for aggressive traders, $39.  For risk control, the conservative exit level is $30.  Lastly, $29 is the final exit level for aggressive traders.

Macy's

#3) Buy Dick’s Sporting Goods (DKS) Mar 17th $52.50 Calls up to $2.75

A third call option this week… we want DKS to move higher.  Profit levels are $56 and $57, conserve capital at $48 or $47.

Dick's Sporting Goods

 

Category: AOA Trade Summary

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