Swing Trade Idea (MAR) – August 22, 2024
Our bearish trade for Thursday, August 22nd is Marriott International, Inc. (MAR) MAR is part of the Consumer Discretionary Sector, which performed at -0.78% over the last month with MAR underperformed relative to its sector at -7.35% over the same period.
MAR is currently trading at a key area of resistance of around $225 with a weakening trend. Earlier this month MAR had an almost 20% drop in price and is struggling to recover. As we, therefore, believe that resistance at $225 will hold, we are playing a bearish Credit Spread that will collect over 40% of the Premium/Width, which is an excellent return.
As a close, if MAR were to trade above $230 for multiple days, this would invalidate our analysis and we will consider cutting losses on the trade. We will also consider cutting losses on this options trade if the value of the vertical spread moves above $8.10.
