FDX is doing great long-term and will make an excellent buy at some point, but today it announced that in spite of having double the profits compared to this quarter a year ago, it did not meet expectations. The stock is down today and likely to continue in that direction. My trade will be:
short FDX now at $82.50
target is $76 or lower
stop is $84.50
Risk: $2
Reward: $6.50+
Reward to Risk ratio: 3.25+ to 1
