Free Stock Tips

Hi Everyone,

Stocks are pushing higher on the hope that the global economy will start to reopen soon, and although we remain skeptical of the rally, buying a bullish call option on Ryder System, Inc. (NYSE:R) is a good way to get in on the action.

Ryder didn’t find a bottom until early April, but once it started rising, the stock formed a channel heading higher. Last week it bounced off up-trending support, and if it can overcome its 50-day moving average, it should push into the upper $30 range.

Ryder is expected to report a loss on its earnings call of $0.85 per share, which is scheduled for April 29. That is an incredibly low number, and could be easy to clear.

Rather than hope for the stock to jump to the upper $30 range, traders can bet on an even shorter-term goal: making it back above $30. We set the strike price for the option at that level because Ryder is already moving to challenge it.

Buy to open the Ryder System, Inc. (NYSE:R) June 19th $30 Calls at $1.90 or lower.

As always, do your own research, don’t chase gaps, use limit orders to enter positions, always use stop loss orders to protect your position, and take profits when you are in a position to do so.

Good Trading