Hubert Senters here.
Let’s do a follow up video from yesterday. We were talking about a bracket trade on earnings on CVS. As you can see if you did the trade properly today you are slightly up. If you did an Intra-day execution if you did a close below the line you just got fill because the market just closed.
So the bracket trading is long above $65.24. The bracket trade to the downside would be short at $62.27 or below. Now, there’s three different ways you can handle this one trade, one tick below $63.27 which would be $63.26 obviously. Or you can wait until the close which today would be $62.35 so obviously one, there’s a fudge factor of about 35 cents or depending on. I did the math wrong. It’s $62.35 minus $63.27.
The difference is the difference in the trade so just do the math if you want to. In this case scenario it would be better if you did an Intra-day trade right at that line. Now, if you’re doing a swing trade then obviously you’re going to have to wait for the closing at $62.30 or you can do the open at tomorrow.
Good luck. Hope it helps. And I’ll see you on the next video.
Hubert.
