Potential Bottom-Plays
We’ve unearthed a couple of stocks that are trading just above their recent relative lows, and wanted to relegate them to a bottom watchlist this morning. We’re getting strong multiple-bottom signals from each one, and will formulate a couple of corresponding options ideas.
Tenet Healthcare Corp. THC – This stock strung together three sessions of higher lows and higher highs to close out last week, with a ton of room to the upside. We’re going to be signaling our interest in tracking the THC 01/26 $13.50-14.50 Calls as the stock attempts to continue the beginnings of this uptrend.
Key Tronic Corp. KTCC – This play has been attempting a recovery of its own, after a sizable gap-down hit it this past Monday, as pictured on the chart snapshot below. We’ll be waiting in the wings with an options idea in this case as well, with the KTCC 02/16 $5 and $7.50 Calls.
Lululemon Athletica LULU – Update
We also want to give one final update on our Weekly LULU Calls, which provided us with multiple opportunities for swing trades throughout last week. Friday was no exception, with the following moves being made on the day:
$72.50 Calls – Range: .39-1.50 – Max Gain: 285%
$73 Calls – Range: .22-1.00 – Max Gain: 355%
$73.50 Calls – Range: .11-.50 – Max Gain: 355%
Extended Watchlist:
RLOG, OSTK, XNET, SSC, SPWR, RIOT, DPW, TCPC, GROW