CSX trade ideas
CSX : neutral shortBought a calendar today in CSX for a 1.60 debit. The 0.3 I.V.R. (implied volatility rank) was what made me want to try this as well as an overall feeling that the transports and industrial sectors of the market are looking somewhat weak. I rarely do a calendar (2nd one ever) as they always seem to lose but will try to mix up my approach so as not to be just bearish or bullish. I am hoping by optimizing the greeks just by placing this trade at such a low volatility will help me even if the trade goes against me, but the VIX has seen lower in the not so distant past so it is not a given.
CSX long possibilityCSX idea is daily bull flag, odds for bounce from 10sam support area, monthly upside continuation, 60 min triangle breakup and weekly continuation after consolidation bar. On the weekly chart we can see one big green bar and after that smaller bar (previous week and consolidation bar). So, I will use that consolidation weekly bar what result with daily flag for long possibility.
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