Short
PLTR to 40ish then correction
PLTR is on fire lately and clearly overvalued even for PLTR long-term bulls. I believe we hit the psychological level of 40$ and then we see another correction like the previous. I marked the last 3 major corrections and the average correction is just about 29%. A 25% correction would perfectly correct the the prior fib and by then around the 50 week EMA. Since PLTR is a cult stock I can see the dip being bought up aggressively so I will utilize the demand zone I drew for a broader range.
The Play:
As we approach 40$, layer in long puts with a spread 2 month out + 6 month out
I will choose strikes with high open interest
The Play:
As we approach 40$, layer in long puts with a spread 2 month out + 6 month out
I will choose strikes with high open interest
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.