Stop me if you've heard this one before: UA - Bought Under Armour September $60 calls at $1.00/contract today. What follows is the exact verbiage from my previous UA purchase. This was a purely technical play. I am a member of iBankCoin's PPT trading website. It is quite honestly one of the most useful tools I have come across and worth every penny. UA flagged in The PPT algorithms as Oversold. The stats said that the previous 10 times that had happened with UA the stock had turned around for an average return of better than 10%.
Today the stock is trading in the $56 range, and looks to be 'resting' for it's next leg higher. Since the PPT implies seeing $60 or $61 in the next two weeks, the Sept $60 calls should just about be a sure thing. Of course, weak numbers from either Dick's (announces Q2 tomorrow, August 14) or Foot Locker (announces Q2 Friday August 17) could jack this play up. At that point I will re-evaluate the position and may double down.
This material is provided for informational purposes only, as of the date hereof and is subject to change without notice. This material may not be suitable for all investors and is not intended to be an offer, a solicitation of any offer to buy or sell any securities. Following me in trades will lose you money.
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