November 11, 2020 - MDT Alert (CTXS)

I would like to make another suggestion on a stock that is oversold. And I mentioned on John's webinar today.

The stock is Citrix Systems Inc. (CTXS).

CTXS reported on October 22nd with an earnings beat. And from a technical standpoint, it is oversold.

My suggestion is going to be a debit spread. And I am I going to suggest you trade the December 4th expiration.

This gives the stock about two weeks to make a move into earnings.

Here is how you open the position:

Buy to Open December 4th - $115.00 Call for $3.60

Sell to Open December 4th - $120.00 Call for $1.60

The net debit will be $2.00 per spread.

Based on the tracking portfolio, I suggest you limit the trade to a 5 lot or 1% of the portfolio.

The maximum gain on a five lot would be about $1,500 or 150%.

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