A Winner Returns To Our Entry Zone
On September 29th, we closed a bullish trade in a biotech for a gain of approximately 360% on our original maximum risk, before fees. The stock had rallied sharply, and its 14-day relative strength index (RSI) finished that session near 77—in overbought territory.
By Wednesday evening, the shares had pulled back about 20% from their late-September high. The daily RSI was back near 49, inside our “Goldilocks” entry zone of 40–60. The clinical case remains compelling to us, with additional data and a business update ahead, so today’s bullish order revisits the same company at a more attractive technical entry.
The idea comes from our Multibaggers list: a tracked group of outside analysts with multiple recent winners that gained 100% or more. Those accounts are a subset of our Market Watchers X list. For this re-entry, we’re using an options structure that preserves additional exposure to an early rally.
A Bearish Bet On Spending Pressure
Our second options trade is a short-term asymmetric bearish one. September’s 9.1% jump in gasoline prices leaves households with less room for discretionary purchases. High financing costs add pressure: the average 30-year mortgage rate reached 7.40% last week. Those conditions can weigh on spending tied to homes and larger purchases.
The stock passed our new Earnings Downgrades in a Downtrend screen, which we developed in conjunction with a frontier AI model. It combines downward earnings revisions, weak relative strength and a bearish price trend with a consolidated technical setup.
We’re expressing that view around an upcoming earnings report. A weak result could produce a decline worth several times the premium at risk; a favorable surprise could cost us the entire debit. The short duration keeps the trade focused on that earnings window.
Paid subscribers will find both names, the exact option structures, maximum entry prices and exit plans below.
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Today’s Multibaggers Trade
Theme: Antibody data may drive revaluation.
RSI: 49; Chartmill Technical Rating: 9; Setup Rating: 6; Fundamental Rating: 3.
