MCD caught here, can start looking to buy puts at the 191.8 level but confirmation is below 188.8. Above 195.2 we can watch for higher with confirmation being 198.9
Over the weekend it looks like the virus has gotten worse within the US. The may lead to more downside this week. We are currently in a correction zone but below $271.2 we are in recession territory or 20% down from our previous highs. I think that $286 and $281 will be hard resistance to break through to go lower. I am going to long puts on SPY but also hedging...
With the Coronavirus spreading and airlines taking a hit, UAL should fall as hard as BA if not harder, this broke our yearly support of $51.5 but closed above, we could see a bounce to $54.31 before heading lower to $45.5 then $40.5, below $49.5 will be my entry for swings.
As the market continues to sell off and airlines take a hit due to travel restrictions, BA is looking good to hit yearly support around $213. This is a longshot but after selling off $20 on Friday and continued virus confirmations over the weekend, this is looking better and better.
I originally had traded this into Friday for protection against a fall like the one that took place with spy and tech. After reviewing it further this should have been painfully obvious and entered long ago.
Spy, closed above $294 right before close and failed to break the trend line throughout the day. If we can hold this then we may gap fill to $300 and continue higher, if we break 288 then 285 is our main support.
