This is a sample entry from Brian Cullen’s email newsletter, The Cullen Outlook.
Technically Speaking: Markets You Should be Watching Right Now
October Feeder Cattle:
Selling on a break of strong support.
October Feeder Cattle has broken through a strong support level of 134.00. I look for a bit of retracement to get short this market through the remainder of the summer. We experienced this same price pattern back in April through May of this year and subsequently traded down to the 126.00 level.
I’m looking to get involved on the same technical break to the downside.
SELLING at 134.00 on a limit (Good Until Cancelled)
- Risk would be 136.00
- Objective #1 would be 128.00
- Objective #2 would be 126.00
Trading with these price suggestions:
- risk is approximately $1000.00
- objective #1 is $3,000.00
- objective #2 is $4,000.00
For those who prefer option trades:
Consider buying the October Feeder Cattle 124.00 put with 65 days until expiration for roughly 120 points or $600.00
- Risk would be the cost of the option plus fees
Have a look:
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