Closed MRVL -8.0%

I've closed my stock options position on MRVL with the stock priced at 19.67, down 8 percent from where I entered. The option position, a bull put spread, closed for a 60.9% loss.

I opened the position on Jan. 5. I bought February puts with a strike price of 20, and sold puts with a strike of 22.5, with a stop loss of 20. The shares showed a bear singal on Jan. 12, and moved decisively below 20 about two hours into today's trading.

MRVL met my technical requirements for the trade. It showed a bull signal amid an uptrend. Problem is, the uptrend ended. It is the nature of trends they are trends until they quit being trends. Simple as that. The stall came at a congestion level that had been set in October 2000.

There is among traders a traditional mantra that is uttered fervently in times of loss, for its mixture of calmness and hope. . . .



Here is the mantra:

Bummer!

Topic: Marvell Technologies Group