I think it probably gets hung up around 432 which presents a retrace level as well as gap resistance.
While we're at it, NFLX has just rallied back into resistance. Although technical trading appears a bit beyond your grasp?
Shorting at 122? During a breakout? Bollinger bands expanding huge to the upside? Listen that may work out for you in the long run but to go short at 122 right now is one seriously stupid move. Theres absolutely nothing to indicate its even ready to roll over. If there were I might go short with you, but geez man WTH are you looking at
Its going to be choppy today as MM's buy and sell to square up options positions. The continued strength makes a pin less likely although 125 still looking like a magnet.
Markets are down, market internals are negative, very strong move in that environment... If markets begin to turn up, it could get ugly for shorts.
gapped up and ran into resistance, came down, filled gap, retested downtrend line, and back above the open. If it gets through the HOD we're starting the next leg up.
I would set the stop lower, 12 cents on a $100+ stock isn't much wiggle room, you could be stopped out just on a price discovery plunge underneath. I'd give it a buck or so. Maybe just under $118. IMHO anyway.
use todays LOD as your stop. bounced solid off the 200, if it goes below I wouldn't trust it. I think it probably holds though. A little consolidation after last few days, still holding support, daily still outside upper BB so right now its just a consolidation pullback.
If it breaks todays low Im wrong.
MM's sell 120 puts (and 115's, also a lot of volume) to the bears today, collect the premium, and keep it tomorrow when they expire worthless. Thats the game.
explaining the mechanics of options to a newbie isn't really practical on a msg board. do some google searches on options strategies for more info. a lot of volume / open interest at a specific put strike often sets a floor for prices.
more than 650 contract volume at the 120 put strike already. selling premium to folks expecting it lower by tomorrow. too much OI above 120 to let that happen IMO