DailyPlay – Portfolio Review & Closing Trades (AAPL, XLF) – January 3, 2025

Closing Trades

• AAPL – 90% gain: Buy to Close 2 Contracts (or 100% of your Contracts) Jan 17 $260/$270 Call Vertical Spreads @ $0.14 Debit. DailyPlay Portfolio:  By Closing both Contracts, we will pay $28. We initially opened these 2 Contracts on Dec 13 @ $1.50 Credit. Our gain, therefore, is $272.
• XLF – 58% loss: Sell to Close 8 Contracts (or 100% of your Contracts) Jan 17 $48 Calls @ $0.86 Credit. DailyPlay Portfolio:  By Closing all 8 Contracts, we will receive $688. We initially opened these 8 Contracts on Nov 11 @ $2.05 Debit. Our loss, therefore, is $119 per contract.

DailyPlay Portfolio Review

Our Trades

AAPL – 14 DTE

Bearish Credit Spread – We are closing this position today for a profit.

AMD – 168 DTE

Bullish Long Calls – Advanced Micro Devices, Inc. (AMD) – We recently established this position. While we are currently down slightly, we plan to stay the course for now, as there is still ample time remaining in the option contract.

DXCM – 14 DTE

Bullish Debit Spread – DexCom, Inc. (DXCM) – We still maintain our bullish forecast on the stock, so we plan to stay the course for the time being. We may roll the short call down to bring in additional premium, which will lower our potential maximum gain while simultaneously reducing the cost basis on our long call.

NVDA – 7 DTE

Bullish Call Diagonal Spread – NVIDIA Corporation (NVDA) – We recently made a second adjustment to this position, which has lowered our loss basis on the long option contract. For now, we will stay the course after this adjustment, as the short option contract has just 8 days until its expiration date.

QQQ – 14 DTE

Bullish Long Call – The QQQ and the market, in general, have experienced a pullback, it seems someone closed the damper in the chimney on the so-called Santa Claus rally between Christmas and New Year’s Day. With the new year now upon us, we will maintain the position and may sell a call this week as a hedge if we see a bounce in the market. This move would help lower the cost basis on our long call option contracts.

SHOP – 14 DTE

Bullish Debit Spread – Shopify (SHOP) – We maintain our bullish outlook and plan to stay the course for now. We may consider rolling the short call down to bring in additional premium. This adjustment would reduce the cost basis on our long call while lowering the potential maximum gain.

XLF – 14 DTE

Bullish Long Call – We are closing this position today for a loss.