My Trade Plan:
- Target Price : $140
- Stop Price : $125
- Higher-risk “spicy” idea: ANET Dec 23 2021 132.5 Call near $1.80
- More conservative idea: ANET Dec 23 2021 125 Call near $6.50
ANET Inc. (ANET) - Bullseye Pick of the Week
ANET is one of the few stocks I have found in the tech sector that has been able to withstand the onslaught of selling recently.
But ANET has not closed higher than the breakout level, so I’m not so sure we are going to get the explosive upside that I want out of this trade.
Why did I want to get into this trade in the first place?
The stock had a great earnings report, has pulled back to a support level and is now gaining momentum higher. If this continues, I think ANET could rise to near $140 in the next couple of weeks on the upside.
If the stock slips, I will keep $125 as my stop on it (not $120!) , which is the recent support level based on daily charts.
How I’m Planning TO Trade ANET: