DailyPlay – Portfolio Review & Closing Trade (RACE) – July 5, 2024

Closing Trade

• RACE – 52.16% loss: Sell to Close 4 Contracts (or 100% of your Contracts) July 19th $420/$390 Put Vertical Spreads @ $5.55 Credit. DailyPlay Portfolio: By Closing all 4 Contracts, we will receive $2,200. We opened 2 Contracts on May 21 @ $9.95 Debit and then another 2 Contracts on May 29 @ $13.35 Debit. The average loss, therefore, is $610. 

DailyPlay Portfolio Review

Investment Rationale

With Non-Farm payrolls due today and a thin day of trading, we will simply monitor how the markets respond to the jobs report. The only position that requires managing is RACE, as it triggers a 50% stop loss level. We’re going to close that trade today and provide a review of all the DailyPlay positions.

Our Trades

AXP – 42 DTE

Bullish Debit Spread – The last week added gains to AXP as it bounced higher from support at $230. The next upside target is at $240.

AZN – 42 DTE

Bullish Credit Spread – AZN continued to pull back from recent highs and we expect to see a bounce from support at $75 to warrant keeping this position open.

DHI – 42 DTE

Bearish Debit Spread – Had a confirmed break below a key area of support at $140. With this level holding as resistance our next downside target is $130.

MS – 28 DTE

Bullish Credit Spread – MS has been trading higher this week, with price at a critical resistance at $100. We will keep a close eye on this trade to see how price reacts.

PYPL – 28 DTE

Bullish Credit Spread – The lat two days added gains to PYPL as it bounced higher off support at $58. We will keep a close eye on this position as we need a break above $61 over the next few trading days to confirm momentum.