ACTION:

Buy to open the ORCL May 42 calls (ORCL160520C00042000, $0.55, up $0.03) at current levels.

Dear Momentum Options Subscriber,

I have a New Trade this afternoon on a name that could be on the verge of a breakout. I mentioned previously that I like the technical setup for Oracle (ORCL), and I want to play the potential move using call options.

 

Oracle (ORCL, $40.73, up $0.11)

Buy to open the ORCL May 42 calls (ORCL160520C00042000, $0.55, up $0.03) at current levels.

Action: I like these call options at current levels, and you can use a Limit Order up to $0.70 to get the best fill.

These are the regular monthly options that expire on May 20, and I will provide the parameters of the trade and a more detailed write-up in tomorrow’s Pre-Market Update.

Shares are on track to test their 52-week high north of $45. Resistance is at $41-$41.25, while support is at $40.

ORCL

All prices given in this update are current as of 2:10 p.m. EST.

I hereby disclose that I will be participating in the aforementioned trade(s). Every new Momentum Options recommendation is listed with the price at which I entered my own position. If the price is slightly different than my recommended entry or exit price when you receive the alert, don’t let that keep you from getting into or out of a trade. Occasionally, you might even get a better “fill” price than what is posted in the Open Trades and Closed Trades.

Trade on!

Rick Rouse
Editor and Chief Options Strategist
Momentum Options