By Dan Darrow
August 19, 2022
Intraday Update: OKTA, TDOC, BITO
A risk-off open to wrap up the week is leading to some early selling across Tech. OKTA had been hanging above 100 the past few sessions as it searched for sustained buying interest, but today's early drop is sending it below recent support. We had a tighter 30-40% net debit loss as a stop for the Sep16 $110 - $120 call spread because it was a ramp into the report strategy, and that stop is getting hit this morning. The trade will be closed and we will wait for a new setup on the stock.
TDOC is within striking distance of the initial target range (33.25), so we can work quickly to lock in money on the recently initiated Sep16 $35 - $30 put spread. The current spread will be closed and a lower debit Sep16 $30 - $25 put spread will be opened. The next target is <30.50.
BITO is breaking down in a big way this morning. A sizable gap lower has sent BITO sliding near 13, and the bear portion of the strangle has moved nicely into the money. The plan will be to close the Sep16 $14 - $11 put spread and roll down to a tighter Sep16 $13 - $11 put spread. The next target is <12. The bull portion of the strangle will remain open for now.
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**As of the date and time of publication