Options Corner: Intel (INTC)

Core Viewpoint - Intel is facing pressure following a report that Nvidia has halted testing of Intel's 18A chip production process, which Nvidia was considering for its own chip manufacturing [1] Group 1: Stock Performance - Intel's shares have increased over 35% since Nvidia's $5 billion investment announcement in September [1] - Year-to-date, Intel has shown strong outperformance, particularly in recent months, outperforming both the tech sector and semiconductor industry [2][3] Group 2: Technical Analysis - The stock is currently at a critical juncture, with significant long-term resistance and support levels identified between 15 to 20 [2] - Recent price movements indicate a potential breakout point, with key levels at 33 and 36 serving as notable support and resistance [5][6] - The 21, 5, and 63-day exponential moving averages are closely aligned with current prices, indicating a potential inflection point around 36 to 37 [6] Group 3: Trading Strategy - A cash-secured put strategy is suggested for investors looking to buy shares if the stock price falls, with a strike price of 34 and a potential profit of approximately $100 per put sold [10][12] - The break-even price for this strategy would be around $33, factoring in the premium collected from the put sale [12][13] - This strategy allows for profit if the stock remains above 34 over the next three and a half weeks, while also preparing for potential share acquisition if the price drops [14]