TopOptionAlert
Oct 19, 9:10 AM
$LULU NOV20 100C · actionable here
Zone:
$96.42 to
$97.78
Invalidation: close under
$95.09
Objectives:
$104.24, then
$107.29
The math: up 7.4% to the first objective and 10.5% to the second, against 2.1% risk on the invalidation, about 5 to 1 to the second
Think of this swing setup like a favorite store in a quiet mall that got marked down all year even though people still line up when something new arrives. Lululemon closed Friday at
$97.10 after buyers held the
$96.57 low, and that hold came after price lifted off the
$90.38 low on October 8 and built higher ground near
$92 to
$95 all last week. What that means is simple. The worst selling may be tiring, and if the floor at
$95.09 keeps holding, price has room back toward
$104.24 first and the 50 day average near
$107.29 next. If price closes under
$95.09 you step aside, plain and simple.
P.S. Watch
$100.67 on Monday. It was the high on Friday, and a close over it would show buyers pushing again, not just defending the low.
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