TopOptionAlert
Oct 22, 7:27 AM
$VZ NOV20 45C · still actionable
Zone:
$43.26 to
$43.87
Invalidation: close under
$43
Objectives:
$45.10, then
$46.50
The math: up 3.5% to the first objective and 6.7% to the second, against 1.3% risk on the invalidation, better than 5 to 1 to the second
Dear friend, picture a sturdy old phone company that got knocked down yesterday because a neighbor reported first and the whole street got marked down. Verizon fell 2.2 percent to close at 43.56 dollars, but buyers held the 43 dollar low and lifted price off that floor during the day, and what that means is the selling was heavy but the floor still worked. This is a swing setup into its earnings on October 26, because a move back toward 45.10 dollars would show the sympathy drop is fading, and a close under 43 dollars would say we were wrong while the risk is still small.
P.S. Watch 44.05 dollars first. It was the high on Wednesday, and a close over it would show buyers taking back ground, not just defending the low.
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