I'll now be looking in the $155 area where we find previous highs and our pre-earnings gap. For traders that don't mind picking up additional contracts in a dip $155 could be your first entry with delta .70 call options and add to the position should we move down to $147. This is a stronger area of support and you could set stops on the entire position below this level.
If you liked this exciting, all-in-one content brought to you by Options Profits and want to explore more of the product, please CLICK HERE for a 14-Day Free Trial.
John is a Commodity Trading Advisor with Razor Trading. McGraw Hill commissioned him to write a book entitled Mastering the Trade, which was released in January 2006. Carter has also been featured on ABC Money. He and Hubert Senters founded and run the Trade the Markets web site.