Sell Signal Pending: AAL ($11.14) Option: July $11.00P ($1.80) AAL made an interim low at $8.25 on May 14 and has bounced almost 50% in just a few days. The stock is falling 8% today in reaction to the CEO insisting that the company would not file Chapter 11 bankruptcy, explaining that, "bookings are up." From what, zero? AAL triggers Short today on any close below $11.20. If we see it trading below $11.00 in the final 30 minutes, assume the trade is confirmed. If the stock trades above $11.20 into the close, we will revisit tomorrow. I am looking for a quick double so long as price stays below $12.00. The puts traded up to $3.90 at the May 14th stock low. Risk:reward highly favorable.
