On Friday’s Options Action, the crew analyzed the performance of technology stocks. The S&P Tech Sector has lagged the market this past week and underperformed on a relative basis to the market. Semiconductors have started to break lower and topped on a relative basis 7 months ago, creating a drag on the overall tech sector. Coupled with weakness from the largest weights in the sector and expecting a move lower Michael Khouw suggests buying Nov 75/50 Put Vertical for a $1.15 Debit. As of Friday’s close, this spread is trading at $1.25.
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