DailyPlay – Adjusting Trade (NVDA) – December 10, 2025

NVDA Bullish Trade Adjustment Signal

Investment Rationale

Adjustment Rationale:

Bullish Long Call – NVIDIA Corporation (NVDA) – We maintain our longer-term bullish outlook following NVIDIA’s recent earnings report, which delivered a beat on both the top and bottom line, alongside strong forward guidance. The company continues to demonstrate healthy fundamentals, and market tone has turned more favorable as the stock stabilizes after its consolidation phase. That said, the OptionsPlay platform has triggered a short-term Bearish Trend Following signal, suggesting that the recent rebound is unfolding within a broader downtrend and could be susceptible to near-term weakness. With modest gains in our existing long call, we will use this signal as an opportunity to hedge by selling a shorter-dated call against our longer-dated position. This strategy allows us to collect premium, reduce the overall cost basis of the long call position, and maintain long-term upside exposure.

Adjustment Trade:

NVDA @ $184.97
Days to Expiration (DTE): 16
Sell to Open 1 Dec 26, 2025 202.5 Call @ $0.93
Mid: $0.93
Premium Received: $93.00 per call option sold
or $93 total adjustment in the cost basis for the position.

The total risk for the new position is $4,463 (original cost basis) minus $93 (credit), resulting in a revised cost basis of $4,370.

Resulting Position:
Long 1 NVDA Jun 18, 2026 148 Call
Short 1 NVDA Dec 26, 2025 202.5 Call
New cost basis and total risk: $4,370

NVDA – Daily

Trade Details

Strategy Details

Strategy: Short Call

Direction: Resulting in a new Bullish Diagonal Spread

Details: Sell to Open 1 NVDA Dec 26 $202.50 Call @ $0.93 Credit.

Total Risk: The resulting position has a maximum risk of $4,370 (4,463-93), calculated as the initial cost basis of the long call ($4,463) minus the premium received from the adjustment ($93).

Trend Continuation Signal: This is a bullish trade on a stock that is expected to continue higher over the duration of the trade.

1M/6M Trends: Neutral/Neutral

Relative Strength: 9/10

Stop Loss: @ $21.85 (50% loss of premium)

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Tuesday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry.