BY LICIA LESLIE
March 3, 2024
Hi Shoppers,
Wayfair (Ticker: W) has had a nice little rally with a boost from the earnings report.
The chart is looking bullish with more room to run higher:
It has just closed above the 50 and 200 day moving averages for four days now.
The next resistance level comes at the previous high just over $69.
I like the Mar15 calls:
I can buy the 60 calls with an implied volatility of 64.95 and sell the 70 calls with a 68.80 implied vol.
This puts edge in my spread as theoretically the IVs should come together.
Use a close below $58.70 as your stop loss.
Trade Review
The S&P 500 Mini SPX (Ticker: XSP) was up $4.00 on Friday. Those Mar08 510 calls were up 73% at the high. I am still bullish to $524.50.
Thanks for Reading … See You Next Tuesday,
Licia Leslie
Licia Leslie
Head of Technical Analysis
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