Bulls hung tough all week against an onslaught of ugly pandemic headlines, so we’ll continue to use the 273.14 midpoint pivot shown in the chart as a minimum upside objective for the near term. DIA will need to achieve more loft, however, before I could recommend placing a ‘mechanical’ bid at the green line in anticipation of a swoon. It there is no such retracement and this vehicle achieves 273.14 more or less straightaway, you can short there using put options. Specifically, I’ll recommend buying the first strike priced under $1.00, with an expiration no farther out than 7-10 days. The trade should be initiated only with DIA within 0.06 points of the target. Stop yourself out if the options subsequently trade for a third less than you paid for them. ______ UPDATE (Jul 30, 2:53 p.m. ET): Zzzzz. I’m as bored with the 273.14 rally target as you are, but with bears unable to do more than minor damage, it’s the only logical target we’ve got.
