AMD

Good Morning,

The markets took me by storm yesterday and I was not expecting it to react as it did to the rate cuts. Nonetheless, the following weeks will bring volatility back to the market which is great for option traders.

I did a quick and dirty of of AMD and decided to hedge my position to the downside. I should have done this yesterday but I didn't move quick enough. Looking at the fib levels, we can see a nice 5% gap from where we are now to the the next retracement. I am doing a short put option to try and capture this downside and re-coup some of my losses.

In addition, I noticed that since December 2018 it is not uncommon for AMD to deviate out of the channel by 8% before finding its way back to the technical levels. So keep and eye on this, but also be cognizant that we could see another October 2018. Happy trading.

Yours in Mastery,

Khalil