Salesforce $CRM Earnings Trade Idea

I entered a trade on CRM on Nov 29th just before the close. I was anticpating that CRM will beat earnings and wanted to do an options earnings strategy where the risk is minimal but the return if the target price is reached is high.

Based on my calculations, I figured that the stock price would likely move by about $15 up or down so I targeted the $245 strike price.

Tomorrow if CRM reaches my price I will exit with a profit. If it goes the other way, the loss is minimal.

We can see that the stock recently broke a key diagonal resistance level and the gap up in price today indicated that the buyers are in control. This means that people wer eoptimistic about the upcoming earnings.

The moving averages are all up indicating short to medium term uptrend.

The oscillators are overbought so if earnings is a beat I expect the price to fill the bullish gao around $248 per the chart and then we could likely see a pullback in price.

Hope this was helpful for the readers, if so follow me.

We'll see you in the next one!

Trade closed: target reached