Charts… NYX, MA
NYX - this is the oversold position I am focused on.
Over the past year (above is only an 8-month chart, but I did look into it for a year) when the red line of the slow stoch is so grossly below the 20 mark, a bounce is typically seen. The exception was with the poor earnings showing earlier in 2008. The current decline is not from any solid reason, with the exception of the negative implications stated in my previous post. The degree of the bounce is in question, but the SMAs may act as resistance, with high 66 the first resistance level. (this is what drove me to close out the protection)
MA - I took on a call options as MA came back down, around 274. I covered the trade today around 282, yet am feeling a sense of ’sellers remorse’.
Seems as if there is a few more points in MA. Mid 290 seems likely in its push upward.
(Sorry for not posting the MA trade, but I thought it might get complicated like last time, and viewed it as a high risk because of the set up. I posted the NYX trade instead because I thought it was to be straight forward… fate does mock sometimes.)
