WORK Trade on Jul 9, 2020 12:02 from tradelikelarry: Tradervue User Stock Trades.

Trade Planning:

• Daily Chart: Uptrend, Consolidation below recent highs.
• TTM Squeeze: Daily
• Earnings Date: 9/3
• IV: 64.8%
• Potential Profit: $168
• Potential Loss: $232

Reason For Entry:

• Playing the Daily chart, Put Credit Spread. WORK has been in a pattern of consolidation below recent highs and historically honoring the 50SMA. Yesterday, price action closed above the 20SMA with high volume. I am taking advantage of the pull back today for an entry and risking 1% of my portfolio with the PCS position. Stop out level will be a close below the 50SMA and this will be a firm stop.

Reason For Exit:

• Price action worked its way up to the Fibonacci 61.8% level and I closed the trade for a 76% win.

Recap:

• The entry was correct as I executed a Put Credit Spread following a strong candle on a 3 and 8EMA cross over the 20SMA. Within 2 days, price action worked its way to the Fibonacci 61.8% resistance level and I closed the trade for a nice 76% win.