Marriott bullish inclined defensive options - 28 Aug ExpiryThe hotel industry is one of the weaker sectors due to COVID-19. 8 Months deep into the pandemic price volatility has stabilised. With earnings recently over Implied volatility seems to have returned to the previous range. I don't think people will be rushing into this sector anytime soon.
This is perfect for my options strategy which does not do so well against price gaps or rapid movements.
after a few months of trading ETFs with this defensive strategy, I have decided to widen my opportunities. Trading stocks at key price points seems like a good extension. The goal is to incline my trade towards the direction of the key price point break. If it doesn't break, I still get to collect the spread.
This is a defensive trade. If price goes bullish, I have a chance to hit my max gain of est. $1668. But I must close the contract before it rises beyond my breakeven point where I will start losing.
If prices don't go my way (Bearish) or ranges I will collect est. $520
Sold 14 Calls @ 0.64, Strike 110
Bought 1 Call @ 3.70 Strike 98.5
BP block: 13k
MAQ trade ideas
MAR 134
So it had a down trend for a bit but was able to bounce at the 80 line and breakout. The gap was filled below that. The next gap is above. It is currently trading sideways. I’d watch a bounce at the top of the gap channel below (84.87). If it is able to pick up some momentum/volume I’d say the next stop is 99. Of course, anything can happen but pay attention to the bounces. NO bullish indications as of right now. Only thing that looks good is that it broke out of it’s downtrend channel.
MAR right now is likely a dipFirst off, please don't take anything I say seriously or as financial advice. As always, this is on an opinion based basis. For those who sold off last high like the rest of the pros, congrats! Now it looks like Marriot is at the stock price of a dip, and lowest it can likely go may be $85, but I think it has been beat up quite a bit. I can expect this to likely be in a positive retracement pattern quite soon as it has not been historically that underwhelming. As always, this is on an opinion based basis and not meant to be taken seriously as actionable financial advice. Proceed with caution at your own risk.
MAR: Easily a $100 Short Target + Some Long PotentialFirst off, please don't take anything I say seriously or as financial advice. As always, this is on an opinion based basis. That being said, I am realistically expecting Marriott Hotels to have some higher support levels the next few days, and hit that $100 price mark real soon. Personally, if I were to get this stock, I would sell at $100, and reinvest at higher growth stocks (though it is still going to go up). This means it has long potential as well, but may not be in the interest of a Quant like me.
Marriot UptrendYesterday it was announced the opening of Chinese hotels of the chain, their confirmed occupancy is about 40%. Paper 18.05 on good volumes passed day EMA50 and hour EMA200. Yesterday, it pushed upwards from them. The closest resistance level is 100, the next 110 and 117.5. That's where you can put the TP points. Stop-loss is below 88.1.
MARRIOTT - LOCKDOWN EASED ! HOTEL IS BACK ! 1 YEAR RECOVERY !As we know, hotel and airlines industry were the one hit hard by Corona virus. travel is banned for termporary and airport was closed and affected hotel and cruiseline industry. last time was forecasted there was hidden bearish divergence on the short term corrective structure and currently will do corrective structure on the upside movement. Need at least a year to recover after the lockdown eased and the only thing there might a corrective structure and it seems ascending pattern will be formed soon. There possibility corrective may formed due to tension US-China on the south china sea that may affected the tourism industry at the south east country. but on actual its still on bullish trend for the hotel industry.
Technically price was endured on FR 61.8% and EMA 200 monthly. start rebound on this stage.
Long position: $96.87 (let the corrective struCture end first during recovery time)
Disclaimer on!
Marriott - MAR Technical AnalysisNASDAQ:MAR
The idea might be to:
Go short for a short term investment until the green trend line;
Long Term - Go long, but wait for the right signal to buy.
Fundamental Information
Regional destinations that guests can get to by car will be the first to rebound, Marriott CFO Leeny Oberg
said Monday after the hotel operator reported dismal earnings .
“As some beaches in the U.S. reopened, we saw transient bookings increase quickly,” Oberg told CNBC.
“So far, group cancellations have been concentrated in the first half of 2020,” she added.