Swing Trade Idea (MDLZ) – July 15, 2022
Our bearish trade for Thursday, July 15th is Mondelez International, Inc. (MDLZ). MDLZ is part of the Consumer Staples sector, which has performed at -0.45% over the last week, with MDLZ underperforming relative to its sector at -2.39% over the same period.
MDLZ recently rallied into resistance at $61.50, as strength declined. We expected it to retrace lower if this point holds as resistance. This provides a good risk/reward bearish entry.
As a close, if MDLZ were to trade above $62 for multiple days, this would invalidate our analysis and focus cutting losses on the trade. We also consider cutting losses on this options trade if the value of the vertical spread moves above $2.56.
