Electrameccanica Vehicles Corp. stock trades under the ticker SOLO, and closed yesterday at $6.91/share (11/18/2020).
This morning it has continued to climb in pre-market trading, currently at $7.63.
Given its recent technical strength, there are some good short-term trade opportunities for SOLO stock.
SOLO Stock Price: $6.91
10 Day Moving-Average: $4.50
50 Day Moving-Average: $3.01
200 Day Moving-Average: $2.25
RSI: 83
While it may climb a little higher & test the $7 range, SOLO’s RSI is currently showing over-bought conditions at 83.
With this in mind, I would be interested in tracking both the calls & puts that focus around wherever their new range may emerge, based on whether or not they can cross the $7 mark cleanly today/tomorrow.
SOLO’s calls can either have a $6 or a $7.50 strike price, if I were looking at the ones with tomorrow’s expiration I would favor the $6 strike price, while for the next expiration date the $7.50’s show signs of being able to be in the money, given their early morning performance today.
One thing to keep in mind about the $7.50 call expiring on 12/18/2020 is that their Theta is currently -0.025.
Looking at the puts, The $7.50 or the $9 are likely the best option for SOLO for tomorrow’s expiration, but I may instead set my sights on the 12/18/2020 expiration, given that their current strength does not indicate that a put for tomorrow will play out favorably.
*** I DO NOT OWN SHARES OF SOLO STOCK ***