Saudi Arabia is in the news and speculation of sanctions against the country are rising.

But, the stock market seems to have moved on.

As you can see on the chart, traders initially sold on the news that a journalist may have been murdered at the country’s embassy in Turkey.

iShares MSCI Saudi Arabia ETF (NYSE: KSA) dropped 10% on the news but has since recovered part of that loss as momentum turned bullish.

That’s shown with the green line on the stochastic indicator at the bottom of the chart.

My team point out that the December $29 call options are trading at about $1 and could double as the news cycle shifts to other stories in the coming weeks.

© Chart courtesy of Today’s Profits. All rights reserved.