DailyPlay – Opening Trade (ASHR) Closing Trade (NKE) – May 9, 2022

View ASHR Trade

Strategy Details

Strategy: Long Call

Direction: Bullish

Details: Buy to Open 4 Contracts January 20, 2022 $25 Calls @ $5.10 Debit

Total Risk: This trade has a max risk of $2,040 (4 Contracts x $510 per contract) 

Counter Trend Signal: This is a Bullish trade on a stock that is experiencing a bearish trend. 

1M/6M Trends: Bearish/Bearish

Technical Score: 4/10

OptionsPlay Score: 79

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that if there is a multi-leg option strategy, it should be entered as a single trade. 

Investment Rationale

Our bullish idea today is the Xtrackers Hvst China ETF. This trade is based on gaining overseas exposure at a time when US equities are very volatile. Price has declined to a long-term ascending trend line which provides an ideal risk/reward bullish opportunity. From a fundamental perspective, China’s April economic numbers have been poor with significant hits to manufacturing and retail sales. However, there has been an uptick of factories coming back online as well as a resurgence in domestic travel and easing financial conditions. 

Closing Trade

$NKE 88.43% Loss: Sell to Close 6 Contracts May 27, 2022 $128/$140 Call Verticals @ $0.58 Credit. DailyPlay Portfolio: By selling 6 Contracts we will receive $348.