Chipotle Mexican Grill On Deck

10:00am (EST) Chipotle Mexican Grill (CMG, $91.23, up $2.53) will be reporting earnings after the bell today so I wanted to give you an update before they report. The stock is no stranger to the blog and is capable of making big moves with or without an earnings announcement. What makes today’s earnings announcement more exciting is the technical level the stock is approaching. I profiled the August 95 calls (CMGHS, $3.40, up $1.10) yesterday when they were at $2.00 and said I liked positions up to $2.50. It was a “now or never” moment to jump on board and if you did, you are up nearly 50%. What makes this trade so interesting is the fact that the stock is challenging its 52-week high of $92.39. If we can get a push above $93 it would be very bullish and we could see “blue-sky” territory. I use this term when a stock breaks a 52-week high and continues to run. Of course, you could take a little off the table if you plan on playing earnings but this was an all or nothing trade for most of you. I did say I’d like to be out BEFORE earnings so that was the original plan. However, this position has a chance for a triple-digit gain if Wall Street gives them some earnings love. Rick@MomentumOptionsTrading.com]]>

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