BY LICIA LESLIE
June 14, 2024
Hi Shoppers,
The hammer in Cleanspark (Ticker: CLSK) created on Tuesday is panning out:
I think this stock has room to run to $19.75 and possibly $21.
Shopping for options, I like the Jul05 expiration:
There is a nice skew in the calls meaning the out of the money calls are trading at a higher implied volatility which is a great set up for a vertical spread.
This lowers our entry cost and automatically puts edge in our trade.
I like the 18/21 call vertical (buy the 18’s and sell the 21’s) for under a buck.
It does limit our upside to a max of $3.00 less what we pay, but my highest price target is $21, versus theoretically unlimited with straight calls.
The 50 and 21 day moving averages are sitting just under here at $16.65, use this as your stop loss.
Trade Review
Exxon Mobil (Ticker: XOM) had a huge reversal and closed down, no trade was made.
Thanks for Reading … See You Next Tuesday,
Licia Leslie
Licia Leslie
Head of Technical Analysis
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