Here is the daily chart analysis of “SPY 610 Call of 17Jan2025” expiry. The Call option has been correcting because of correction in SPY (and S&P500 index) in the last one week. The Call can closed Friday at $0.41, and its upside targets are $1, $2, and $3. Minimum target is $1, which can come next week.
SPY Dec 20 ’24 610.00 Call
The 20 day SMA keeps acting as a magnet for reversal whenever the option price runs to far away, which enables us to multiple buy/sell trades on this SPY Dec 610 Call. There was also a clear recovery signal till $5.00 given in Oct’24, which we could use in Nov’24 to buy at lows of $1.50 for targets of $3.00 and $5.00. Even yesterday (29 Nov 2024), the 20 day acted as a magnet and also a resistance. Please Note: while the S&P500 ETF (SPY) is trading above its 20 day SMA, we should always be looking to trade in SPY Calls. Thanks.