DailyPlay – Closing Trades (LULU, SPY) – September 9, 2024

Closing Trades

• LULU- 26.34% loss: Buy to Close 1 Contract (or 100% of your Contracts) Sept 27th $265/$240 Put Vertical Spread @ $11.75 Debit. DailyPlay Portfolio:  By Closing this Contract, we will pay $1,175. We initially opened this Contract on August 22 @ $9.30 Credit. Our loss, therefore, is $245.
• SPY- 90.73% gain: Sell to Close 5 Contracts (or 100% of your Contracts) Sept 20th $547/$530 Put Vertical Spreads @ $6.79 Credit. DailyPlay Portfolio:  By Closing all 5 Contracts, we will receive $3,395. We initially opened these Contracts on September 5 @ $3.56 Debit. Our gain, therefore, is $1,615 which is more than 1.5% gain on our Portfolio.

Investment Rationale

As equity markets decline on the back of weaker than expected unemployment number and we have shifted out DailyPlay portfolio to gain more short exposure, it is time for us to review all long positions for opportunities to exit. Having already taking profits on our first LULU trade, let’s close out this 2nd trade at a small loss while maintaining a profit on the overall trade.