DailyPlay – Closing Trade (JPM) – July 14, 2023

Closing Trade

• JMP – 79.74% Gain: Sell to Close 4 Contracts (or 100% of your remaining Contracts) July 21st $140 Calls @ $9.38 Credit. DailyPlay Portfolio: By Closing the remaining 4 Contracts, we will receive $3,752. We closed 50% of this trade at 98%, resulting in an average gain of 88.87%. 

Investment Rationale

JPM reported earnings this morning beating expectations and raising forward guidance for 2023 and the stock is now trading about $3.50 higher than the close yesterday. With 1 week left to expiration it is time for us to close out this trade at the open. Sell to Close the remaining 4 contracts of the July $140 Calls for about $12.50 Credit (we will update the portfolio price after the open). This would close out our entire JPM position for a total gain of roughly $4,400 on the 8 contracts we had exposure in. This is a prime example of how adding further exposure to a position when we were confirmed with the breakout gives us the opportunity to hit home runs, gaining over 440% return on the original roughly $1,000 (with a 50% stop loss) that we risked with the original 4 contracts.