ACTIONS:

The $1.10 Stop Limit was triggered on the WATT August 12.50 calls.

The $0.50 Stop Limit was triggered on the VIAV September 7 calls.

Dear Momentum Options Subscriber,

I have two Profit Alerts this afternoon for our positions in Energous (WATT) and Viavi Solutions (VIAV), both of which resulted in mild gains.

Shares of WATT traded down to $10.80 late this afternoon, which triggered the $1.10 Stop Limit on our WATT August 12.50 calls. Similarly, VIAV’s decline to $7.01 today triggered the $0.50 Stop Limit on our VIAV September 7 calls.

These exits represent the 50th and 51st winning trades for the portfolio in 2016, and the overall success rate has now edged up to 76%.

 

Energous (WATT, $10.92, down $0.30)

WATT August 12.50 calls (WATT160819C00012500, $1.10, down $0.15)

Entry Price: $1.06 (6/16/2016)

Exit Target: $2.00-$2.50

Return: 4%

Stop Target: $1.10 (Stop Limit)

Action: The backtest to support at $11-$10.75 and the 50-day moving average triggered the Stop Limit at $1.10 on the WATT August 12.50 calls, and we are now out of the position.

Although I’m disappointed about this, I will keep WATT on my watch list while we wait for another blue-sky breakout.

 

Viavi Solutions (VIAV, $7.02, down $0.11)

VIAV September 7 calls (VIAV160916C00007000, $0.51, down $0.07)

Entry Price: $0.48 (6/16/2016)

Exit Target: $1.00

Return: 4%

Stop Target: $0.50 (Stop Limit)

Action: The Stop Limit at $0.50 on the VIAV September 7 calls was also triggered on the pullback to $7.01 today, and we are now out of the position.

I hereby disclose that I will be participating in the aforementioned trade(s).

Trade on!

Rick Rouse
Editor and Chief Options Strategist
Momentum Options