MHFI Not Looking Back

Mcgraw Hill Financial, Inc (MHFI) is a financial intelligence and research firm that gets paid for ratings of S&P companies as well as general market research and for providing economic data. We have seen some bullish activity come across the tape in this name today. MHFI has tested new highs recently as it continues its yearlong bull run. It hit its 52-week low almost a year ago at $52.68 and spiked to $84.81 yesterday, representing its 52-week high.

This is a standard growth stock that has only had one major pullback below the cloud in the past year. This was relatively short and MHFI rallied back to where it is now, trading well above the cloud and up almost 8% YTD.

The intraday chart is sending slightly bearish signals, however we can expect the long term trend to continue so this may be a good buying opportunity as that is what we can see from the order flow coming across the tape today.

 

The Trade

Buy Jul 85 Calls for 1.30

Risk: $130 per 1 lot

Reward: Unlimited

Breakeven: $86.30

 

The Greeks

Delta: Long

Gamma: Long

Theta: Short

Vega: Long