MO Trade on Jul 13, 2020 14:58 from tradelikelarry: Tradervue User Stock Trades.

Trade Planning:

• Daily Chart: Uptrend, Consolidation below recent highs.
• TTM Squeeze: Daily
• Earnings Date: 7/28
• IV: 39%
• Potential Profit: $222
• Potential Loss: $378

Reason For Entry:

• Playing the Daily chart, Put Credit Spread. MO is breaking out of a resistance level following a 3 & 8 EMA cross over the 20 SMA. Earnings are in 2 weeks so I am also looking for a run up to earnings on this trade.

Reason For Exit:

• MO worked its way through my Target 1 area and I locked profits for a +57% win.

Recap:

• The pattern and entry were correct. Price action offered a 3 and 8 EMA cross over the 20 MA with volume which led me to my entry the very next day in my buy zone. I executed a Put Credit Spread and risked about 1.5% of my portfolio. Price action worked its way through my target 1 level and I closed the trade for a nice +57% win.