DailyPlay – Partial Closing Trade (BSX) – April 6

Partial Closing Trade

• BSX – 91.22% Gain: Sell to Close 4 Contracts (or 50% of your remaining Contracts) April 21st $48 Calls @ $2.83 Credit. DailyPlay Portfolio: By Closing 4 of the 8 Contracts, we will receive $1,200.

Investment Rationale

Stocks saw losses yesterday as we are seeing upped concerns regarding a slowing of the economy and increased wages that we see another quarter-point rate hike at the Fed’s next meeting in May. A quick look at the SPX’s daily chart shows the general struggle to maintain rallies above the 4100 area.

SPX – Daily

As we head into the holiday-shortened last trading session of the week, S&P futures are pretty flat, and today will likely be a relatively quiet session. Many trading desks will be lighter-staffed today, and I’d not expect any real fireworks to occur. Tomorrow is the big labor report, and we’ll be able to see how the futures react to the employment number, but you won’t be able to trade your option positions on it till Monday. Think about that if there’s anything you want to do today because of that.

Our long BSX $48 call is now up 91%. Let’s remove 4 of 8 today to lock that nice gain in.

BSX – Daily

That’s it for this week. Enjoy the long holiday weekend with family and friends.