Swing Trade Idea (MRNA) – August 27, 2024
Our bearish trade for Tuesday, August 27th is Moderna Inc. (MRNA) MRNA is part of the Health Care Sector, which performed at 3.61% over the last month with MRNA underperforming relative to its sector at -33.13% over the same period.
MRNA has lost over 33% of its share value over the last month, despite the FDA’s approval of a new Covid Vaccine. Additional fundamental news point to the fact that a continuation of this bearish trend can be expected. As such, we are playing a bearish Credit Spread that will collect 34% Premium over Width, making this a safe investment with ideal returns.
As a close, if MRNA were to trade above $85 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 $7.48.
