DailyPlay – Closing Trade (CAH) – June 13, 2023

Closing Trade

• CAH – 56.42% Loss: Sell to Close 10 Contracts (or 100% of your Contracts) July 21st $82.50 Puts @ $0.73 Credit. DailyPlay Portfolio: By Closing all 10 Contracts, we will receive $730. 

Investment Rationale

Equity markets have continued its bullish trend from last week during yesterday’s session with Tech leading the charge. SPY has broken out above last week’s $430 resistance and +9 Sell Setup. Weekly Charts on SPY, QQQ, IWM and RSP all look constructive for further upside. All eyes are now on this morning’s CPI print this morning and the Fed meeting on Wednesday. Pay attention to the language around the July meeting and whether a rate hike is on the table. For now, we maintain our bullish views and continue to position for further upside and look to cut our losses on short positions. CAH has reversed back to its 52-week highs and proven that our bearish thesis is no longer holding, warranting closing out the full position here. Despite catching the ORCL trade after the gap higher, earnings came out better than expected and we will monitor this today for an opportunity to adjust for further upside. 

CAH – Daily