Swing Trade Idea (NCLH) – March 26, 2021
Our bullish trade for Friday, March 26th is Norwegian Cruise Line Holdings (NCLH). NCLH is part of the Discretionary Sector (XLY). XLY has experienced a 1.2% decline and its 1M trend turned neutral from bullish yesterday.
NCLH has recently pulled back to an area of support at $24 and bounced higher with strong momentum providing a good risk/reward for a long entry. With a technical score of 9 (out of 10), NCLH is a very strong stock that will likely move higher.
As a stop loss, if NCLH were to trade below $24 for multiple days, this would invalidate our analysis and we would focus on cutting losses on the trade. We also would consider cutting losses on this options trade if the value of the vertical spread moves above $2.60.
