Swing Trade Idea (NKE) – May 11, 2021
Our bullish trade for Tuesday, May 11th is Nike Inc (NKE). NKE is part of the Consumer Discretionary Sector (XLY). XLY has experienced a 0.86% decline in the last month and its 6M trend turned bullish on March 30th.
NKE’s 1M and 6M trend turned bullish on May 7h and has recently broken above its 100 D MA with strong momentum with more upside expected.
As a stop loss, if NKE were to trade below $131 for multiple days, this would invalidate our analysis and 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 $5.60.
