On the Daily chart above you can see we had a great day. We gapped up at the open and closed nicely higher. This formed a Trend Kicker candlestick pattern. This is a very Bullish indication.
However, Stochastics are extremely over bought and we've been climbing with a relatively steep slope.
The Earnings Report (ER) is 8am ET 1/14/22. If anyone who held profitable options wanted to cash out before the ER, they would have to sell by 4pm on the 13th because the options market doesn't open until 9:30am. It would be reasonable for traders to sell their Citi stock and options ahead of the rush. So, I'm concerned we're getting too close for comfort.
Also, you'll see on the chart a thick, white, horizontal arrow pointing back to a congestion zone this past November. Current price has now entered that same zone, which can act as resistance.
The Jan 60 Call option we got for $3.40 was worth $7.20 near the Close today. That's better than a 100% gain.
Given all of the above, even though we can easily get more upside tomorrow, I decided the best idea is to capture the profits we have today. So, I sold the Call for $7.20 at 3:50pm ET. Then I Tweeted it out as fast as I could in case anyone wanted to know while the market was still open. I see the stock price is even higher than today's high in after-market trading. So, if you didn't sell your option today, you'll probably get more for it tomorrow.
Summary:
$720 (1/11/22) - $340 (1/3/22) = +$380 profit.
380/340 = 112% gain in 8 calendar days.
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