On Friday's Options Action, the crew analyzed the performance of the homebuilder's sector. After selling off substantially since Jan, this sector has started to turn bullish again just this week. Looking for a bounce higher, HD is the large-cap name in this sector that would attract institutional investors. Coupled with cheap fundamental valuations and bounce off a bullish trendline, HD has upside to run. Expecting HD to trade higher, Michael Khouw suggests buying a July 200 Call for a $3.25 Debit. As of Friday's close, this option is trading at $3.60.
We've structured this trade in OptionsPlay so you can analyze and view this trade along with the supporting technical chart at your convenience.
View this OptionsPlay on HD - app.optionsplay.com/
We've structured this trade in OptionsPlay so you can analyze and view this trade along with the supporting technical chart at your convenience.
View this OptionsPlay on HD - app.optionsplay.com/