General Electric (GE) – Industrials Bottoms Out – Jan 28th, 2020

Bullish – GE $11.71 – Industrial

Catch OptionsPlay’s Chief Strategist, Tony Zhang on CNBC, Options Action every Friday at 5:30 PM EST!

Market Outlook:
The S&P 500 (SPY) has rallied 10% since breaking out above its $302 resistance and has started to consolidate this week. Despite strong momentum and relative strength, we see risks of a pullback with earnings season in full swing next week. 

GE Trade Idea:
On CNBC’s OptionsAction show on Friday, Tony Zhang, Chief Strategist of OptionsPlay suggested that General Electric’s earnings next week could be the catalyst it needs to break out to a new high. GE has broken out from its bottoming formation and recent relative strength points to strong earnings. Tony Zhang, expecting GE to beat earnings, suggests buying a March 11/13 Call Vertical @ $0.85 Debit. As of Friday’s close, these puts were trading at $0.86 Debit.

We’ve structured this trade in OptionsPlay so you can analyze and view this trade along with the supporting technical chart at your convenience. You can also view the Options Action’s video by clicking on the following link: GE OptionsAction Trade

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