Pacific Ethanol, Inc. trades under the ticker PEIX & has recently had very strong technical performance. I’m looking at their options, and am interested in either buying the in-the-money $6 calls as they are currently set to open <$7/share due to today’s volatility, or I may set up a straddle using the $7 PEIX calls & puts with the October 16th expiration.
PEIX Price (per 9/18/20 Close): $7.10
10 Day Moving-Average: $5.13
50 Day Moving-Average: $3.19
200 Day Moving-Average: $1.20
While today I will likely be selling SPXS & SQQQ calls, this is a play that I am going to be looking to make within the coming days to take advantage of their recent strength.
*** I DO NOT OWN ANY SHARES IN PEIX AS ON PUBLISHING THIS POST ***