Swing Trade Idea (PENN) – September 22, 2021
Our bearish trade for Wednesday, September 22nd is PENN (Penn National Gaming Inc). PENN is part of the Consumer Discretionary Sector (XLY). XLY has experienced slowing momentum and has failed to break above the $184 resistance level.
PENN has broken below the $73.80 support and failed the retest indicating further declines. Both 1M and 6M trends have turned bearish and with a technical score of 2 (out of 10), PENN is a weak stock that will likely continue lower.
As a close, if PENN were to trade above $72 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 below $4.02.
