TopOptionsAIerts
Nov 7, 12:22 PM
$AMAT NOV20 340C · still actionable
Zone:
$330.39 to
$335.05
Invalidation: close under
$319.25
Objectives:
$347.50, then
$373.00
The math: up 4.4% to the first objective and 12.1% to the second, against 4.0% risk on the invalidation, about 1.1 to 1 to the first and about 3 to 1 to the second.
I like this swing because Thursday closed at
$319.25 after a 13.6% washout and Friday bounced 4.2% off it to
$332.72. You are buying the level that held, not chasing a breakout, and the invalidation is clean so you know where you are wrong before the move starts. Earnings land November 12 after the close, so the run into that print is the catalyst here. If buyers hold
$319.25 again,
$347.50 is the first spot where sellers have to prove it.
Watch: November 12, earnings after the close.
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