Swing Trade Idea – (JD) – August 12, 2020
Our bullish trade for Wednesday, August 12th is JD.Com Inc (JD). JD is part of the Consumer Discretionary Sector (XLY). XLY has experienced a 7.72% gain in the last month and its 1M trend turned bullish on July 1st.
JD’s 1M trend turned bearish on August 11th as price has been ranging between its consolidation range and is close to support. With a technical score of 10 (out of 10), JD is a very strong stock that will likely move higher.
As a stop loss, if JD were to trade above $58 for multiple days, this would invalidate our analysis and we would focus on cutting losses on the trade. We would also consider cutting losses on this options trade if the value of the vertical spread moves above $1.60.
