BY LICIA LESLIE
August 2, 2023
Hi Shoppers,
For the last two days, I have been saying I am not sure where this market is going.
Now, we just may have a direction … lower.
It’s the US’s second credit downgrade in history and after the first one in 2011, the market dropped 17%.
The Wells Fargo (Ticker: WFC) chart looks like it is ready to roll over:
There is a bearish engulfing candle created on July 21st.
Since then the stock has traded in a tight range and hasn’t really moved.
I will be watching for WFC to trade below $45.50 and I will hop into puts in the Aug18 expiry:
I like the 45.50 puts with an implied volatility of 23.
Trade Review
Freeport-Mcmoran (Ticker: FCX) is still trading at over $43. Use that level for your stop loss on the downside.
Thanks for Reading … See You Next Tuesday,
Licia Leslie
Licia Leslie
Head of Technical Analysis
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