I’m initiating coverage of this stock because its monster price swings could create some interesting opportunities for us with puts and calls. At the moment, the stock’s recovery is targeted on the 651.17 midpoint resistance of the pattern shown. Accordingly, I’ll recommend naked-shorting two October 650 calls if and when the stock gets within 20 cents of the target. You should stop yourself out if the calls trade 50 cents above where you sold them. (They should be selling for around $19, but that’s just a guesstimate.) This trade is intended only for subscribers with options accounts qualified to hold naked puts and calls. Generally, our option trades will involve long-premium strategies. ______ UPDATE (9:50 p.m. EDT): Cancel the short for now, since the stock is falling. Instead, try bottom-fishing at the 623.28 target of the corrective pattern shown, buying two October 650 calls if the stock gets within 10 cents of the target. A 622.04 stop-loss should be used, risking perhaps $10-$15 per contract. ______ UPDATE (1:52 p.m. EDT): I’m new to this stock — had never even looked at it before, actually — but I’ll get the hang of it. Meanwhile, it’s hard not to be impressed by the maniacal fervor of the lunatics/thieves who apparently are running the show. A class act for sure — all of it low.
