JETS. Really liking the technical setup here. Pfizer's news of their new COVID Pill and it's huge efficacy rate boosted the market as a whole. On top of that, the approval for children to get vaccinated will put a lot more families in the air this holiday season. From a technical standpoint, JETS broke above a descending trendline of a possible descending...
Jets recently touched/bounced off major support on the 2 hr time frame, lots of minor resistance above, but trade plan is to follow it up to the red line and follow the RSVVB as long as it stays green. Stop is the lower purple line of the ATR. Not investment advise just posting my trades
$JETS Not a best looking setup but there is always a chance for short term trade. People will travel more and crude oil prices will cool down by early 2022 for airlines to go much higher. Keep doing scalp trades while converting the profits into LEAPs for that rip in early 2022
... for a 1.86 credit.
Comments: Betting that the underlying chops around here between the break evens at 21.14 and 24.86. Because this is akin to a short straddle, will look to take profit at 25% max.
JETS weekly from a technical perspective has bullish momentum with QQE buy signals and MACD curling.
Bullish on the weekly close above 21EMA and in a nice volume gap with room up to 26/27 supply zones.
From an options flow perspective, there was a buyer of the 11/19 21C for $2M in premium. I followed and am currently up +77% and still holding with $26PT
If...
Nice clean break of the base - travel sector looks to be gaining some momentum back. Loaded up some calls with a few short term targets between the mid 20s. Weekly looks good too.
The U.S. Global Jets ETF (JETS) provides investors access to the global airline industry, including airline operators and manufacturers from all over the world.
This is the first month I'm breaking up my trades into 2 tracks to spread risk and provide myself with more room to navigate depending on the market situation.
I'm back bullish in JETS as it seems like the US is taking the virus in it's stride, even with Delta cases rising fast. Any virus precautions and restrictions while limiting are not new to business owners...
... for a 7.63 credit/contract.
Comments: With max profit in the diagonal around the width of the spread (8.00), closing it here rather than waiting another 21 days for the remaining extrinsic to bleed out and/or risking that price returns to below 24. My cost basis was 6.49/contract (See Post Below). Closing it here results in a realized gain of 1.14...
... for a .36/contract credit.
Comments: This is the short leg of a long call diagonal, the long leg of which is out in March of '22. (See Post Below). There isn't a ton of extrinsic left in the September 17th 24, so rolling it here. Cost basis in the setup is now 6.85/contract - .36 = 6.49 with a break even at 22.49. I'm hanging out for a decisive break of...
Global Jets ETF $JETS was the stand out sector today up 1.91% on strong volume.. the chart is looking interesting.. after being marked down throughout summer there appears to be a double bottom confirming with a RSI divergence, there is also a steep left sided skew.. to take advantage of this we’re looking at a NOV’19 $20/26 risk reversal for a credit of $0.06...
When you see Head and Shoulders everywhere start to pay attention.
Airlines are very economically sensitive and capital intensive.
Definitely risk on industry. More debt, fewer passengers,
less revenue per seat mile is not a recipe for airline or economic success.
* -- long call diagonal ... for a 6.85/contract debit.
Comments: I wasn't entirely satisfied with what I would be getting paid for my go-to strategy of selling short puts in this, so doing something a little more directional here. Buying the back month 89 delta, selling the front month 37 here and paying 6.85 for an 8-wide with a max profit metric of 1.15...
Long setup
-fake brake of channel
-strong support + 50% and 36% fibo levels
-reflection from low channel bound
-ABC correction is over?
-fundamentally: pandemic is over soon, economy is opening, people will travel again
