ELECT 24 Top Ad

Call Traders Scored a Quick Profit With Carvana Stock

Our recommended CVNA call scored a profit in under two days

Deputy Editor
Feb 8, 2024 at 3:13 PM
facebook X logo linkedin


Subscribers to our new In-the-Money Countdown (ITMC) service scored a 102% profit in just two trading sessions with our Carvana Co (NYSE:CVNA) weekly 2/9 37.50-strike call. We recommended this contract on Sunday, Feb. 4, after the stock's Friday close of $43.45.

At the end of last week, the stock was seeing support at its converging 80- and 160-day moving averages, as well as its 20-week trendline. The price was also near a pivot zone at $38-$40, and had pulled back near its 61.8% Fibonacci retracement level. 

Furthermore, there was a potential floor at the 40-strike, home to large put open interest (OI), while short interest represented 32.4% of the stock's available float, leaving plenty of short squeeze potential. 

Calls also looked like a good way to go when betting on CVNA, as its Schaeffer's Volatility Index (SVI) ranked in the low 4th percentile of its annual range, meaning low volatility expectations from options traders. The stock's Schaeffer's Volatility Scorecard (SVS) of 81 out of 100 also indicated that the equity usually outperforms these volatility expectations. 

Carvana stock has been in rally mode since the beginning of the week, and was last seen up 8.8% to trade at $52.14 at last glance. The shares are on track for their best week since mid-December, but our subscribers already doubled their investment and exited their positions on Tuesday, Feb. 6, protecting themselves from any potential pullbacks.

CVNA Feb8

 

Biden’s government just announced a new government "stimulus program"...

And it could hand you a payment for as much as $7,882 — each quarter.

See, it has to do with a recent 19-page memo from Biden’s office...

Directing the government to once again send a form of "stimulus payments" to the mailboxes of Americans during these difficult times.

Better still, you can collect these payouts every single quarter — for life...

Payments run as high as $7,882... And it only takes five minutes to sign up.

I call this the "Stimulus Stipends" program…

And Forbes recently declared that you can "retire rich" thanks to this program.

So if you want to start cashing in your quarterly payouts — courtesy of the U.S government...

Discover how to receive your FIRST "Stimulus Stipends" payment for up to $7,882 here. 
 (ad)
 

election 2024 report

                                                  AD                                                  
best AI trade you can make today…?
(it’s not MSFT, GOOGL, AMZN or AAPL)

                                                  AD                                                  

 
 

VOLATILITY SCORECARD

 


                                               AD                                                    
Crazy Opportunity!! Tiny AI Stock just $3
“This Type of AI Will Be Worth “Ten MSFTs.”

                                               AD                                                    

 
4 AI STOCKS TO BUY NOW
 

                                                  AD                                                  
best AI trade you can make today…?
(it’s not MSFT, GOOGL, AMZN or AAPL)

                                                  AD