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Swing Trade Idea (GPC) – October 12, 2023

OptionsPlay’s bearish trade for Thursday, October 12th is Genuine Parts Co. (GPC). GPC is part of the | Consumer Discretionary Sector, which has performed at -5.01% over the last month, with GPC performing at -0.35% over the same period.

GPC is in a steady downtrend and recently broke below support at $150, which is now acting as resistance. Both GPC and its sector has traded into an area of resistance, which is at the 50 Day EMA, indicating that further downside can be expected.

As a stop loss, if GPC were to trade above $150 for multiple days, this would invalidate our analysis and suggest cutting losses on the trade. We also recommend cutting losses on this options trade if the value of the vertical spread moves above $8.92 Debit.