DailyPlay – Closing Trade (TAN) – December 14th, 2021

Closing Trades

• TAN– 84% Loss: Long Jan 21, 2022 $95/$115 Call Vertical @ $0.95 Credit

Equities started the week on a negative note with both the SPY and QQQ rejecting their respective resistance areas and ending the day in the red. While our outlook still remains positive for equities, the threat of the new variant is causing concern, especially in Europe. We continue to see rotation into defensive sectors (Utilities, Staples, and Real Estate). We take this opportunity to cut losses on our TAN trade that broke below the $93 support level and is failing to show evidence of a reversal higher. 

Prakash Vijayanath
Analyst at OptionsPlay