Long SINA After 10% Correction

As long as SINA Corp. (SINA, $86.50, off $2.10) holds above the $79.13 swing low made on October 9th, I want to take my buy triggers against one of two support clusters that I’m seeing above this low.  The first area comes in at $83.08 – $84.63.  The second zone comes in at $81.05 – $82.34.

If this setup starts to play out, some of the upside targets are $93.91, $95.10 and $97.93.  I would consider myself wrong the trade if the 10/9 swing low is taken out.

CB sina

How to play this media provider to the Chinese community with options?   SINA has weekly options through November expiration.  I think the November regular expiration (11/15) November 82.50 – 95 strike bullish vertical spread could be trading near $4.10 early next week if the first target (above) is reached.  If correct we’re risking ~$4 to make ~$11 if SINA hits our second upside target.

For more information on trigger entries, please refer to my guidelines.
http://www.fibonacciqueen.com/fibqueenguidelines.pdf

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Carolyn Boroden

Carolyn Boroden is a commodity trading advisor and technical analyst specializing in Fibonacci analysis. Her unique form of price and time analysis is quickly proving to be one of the most promising trading techniques using Fibonacci available today. Ms. Boroden's first book, Fibonacci Trading: How to Master the Time and Price…