Citrix Systems, Inc. (CTXS) is a cloud computing company that develops software for enterprise and online services. The company’s stock is currently trading around $60.85 in a 52 week range of $51.18-$77.16. The stock has been under performing the broader market with shares falling around 3.7% year to date. Options action during today’s trading session would suggest that traders believe this trend will continue through June expiration. Earlier today a trader bought 2,000 CTXS Jun 65 Calls for $2.825. This trade is a bullish bet that CTXS continues its recent move higher. Although the stock is down on the year it has rallied over 6.6% in the past month. The stock is now trading above the Ichimoku Cloud after breaking to the upside earlier this month. With bullish order flow and a strengthening chart we believe CTXS is setting up well for a long position.
Trade: Buying the CTXS Jun 65 Calls for $2.85
Risk: $285 per 1 lot
Reward: Unlimited
Breakeven: $67.85