Intraday Update: DKNG, NKE, EXPE - T3 Live

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July 19, 2022

Intraday Update: DKNG, NKE, EXPE

DKNG is snapping back to its high from yesterday (13.50) this morning but is finding some resistance around that level early. The smart thing to do is to lock in some money sooner than originally planned (reversals are playing out fast in this market), so the Nov18 $12.50 - $20 call spread will be closed and a Nov18 $15 - $20 call spread will be opened. The next target now will be 15+.

NKE is unusually strong this morning, with a sizable green open and a 3% push higher already. That rally has sent the stock above the key 20day sma, which it was holding well recently, and it is changing the bearish pattern. The Aug19 $100 - $95 put spread needs to be closed before the stock can break out of its lower range.

EXPE popped sharply off the open this morning, both trading through the 20day sma and above yesterday's high. The reversal is beginning to take shape, but because of the strong early move, the prices of the Aug19 options are above the action area. There is still potential for this pattern, but we will need to adjust the strategy to get involved. The new trade will be:

Long Aug19 $100 - $105 call spread

Note: because the stock has already moved ~$4, you should approach this trade as more speculative and with lower size.

Open Positions

* The following Open Positions pertain to the Options In Play trade ideas from this and previous editions. Disclosure of the Trader Co-Author’s actual portfolio holdings, as of the date of each publication, is made below under "Trader Author Portfolio Holdings.".

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Trader Author Portfolio Holdings

**As of the date and time of publication

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