FDX Trade on Sep 8, 2020 13:18 from tradelikelarry: Tradervue User Stock Trades.

Trade Planning:

• Daily Chart: Uptrend, Consolidation below recent highs.
• TTM Squeeze: Daily
• Earnings Date: 9/15
• IV: 83%
• Potential Profit: $15
• Potential Loss: $235

Reason For Entry:

• Playing the Daily chart, Put Credit Spread. FDX is in a pattern of consolidation below its recent highs. Notice how price action held the 8 EMA during the market sell off last Friday. This shows strength. Earnings are next week and the IV is at 82%. Our profit level is in line at a key support level around the lower BB. I am betting that price action closes above the $200 level by expiration on Friday.

Reason For Exit:

• Price action closed above our Target level at expiration and collected 100% of the premium.

Recap:

• The setup was correct as price action pulled back to the 8 EMA (historic support) during an uptrend. The profit level was about 11% below the initial entry, and at the lower BB (which is a nice final support level). Price action continued its uptrend and we collected 100% of the premium at the close of Friday. Nice small win with this high probable trade.