Aflac AFL Stock & Option Trade Ideas

Based on the technical data for AFL:

• MACD (Moving Average Convergence Divergence) has been consistently negative, indicating a bearish trend.
• RSI (Relative Strength Index) has shown fluctuation but generally remains within the neutral to overbought range.
• Bollinger Bands have been widening, indicating volatility in the stock price.

Stock Trade:

Considering the bearish trend indicated by MACD and the volatility shown by Bollinger Bands, it may be prudent to consider a bearish stock trade:

• Sell AFL stock short if the price breaks below the lower Bollinger Band as a confirmation of the bearish trend.
• Set a stop-loss order above the upper Bollinger Band to manage risk.
• Target a price level near the lower Bollinger Band as an initial profit-taking level.

Option Trade:

For an option trade, considering the bearish trend and potential volatility, a bearish option strategy like a bear put spread could be considered:

• Buy a put option with a strike price slightly below the current price for downside protection.
• Sell a put option with a lower strike price than the bought put option to offset the cost and define the maximum loss.
• Monitor the trade closely for any breakouts above the upper Bollinger Band and consider exiting the trade to limit losses.