OptionsPlay DailyPlay Ideas Menu – February 4th, 2026

💰 The Income Generators (High Probability, Cash Flow)

• MP: Bullish Put Spread capitalizing on the strategic push for domestic rare earth independence as the stock stabilizes above key support.
• COST: Bullish Put Spread leveraging Costco’s defensive membership model and pricing power during a technical consolidation pullback.

🚀 The Growth Seekers (Higher Risk, Max Reward)

• NEM: Bullish Call Spread betting on a resurgence in gold prices driving miner profitability as Newmont bounces off critical technical support.

1. MP ($64.61) – Strategic Supply Chain Play

View Trade in OptionsPlay

• The Trade: Sell to Open the MP Mar 06, 2026 60/55 Put Vertical @ $1.83 Credit.
  • 🔴 SELL TO OPEN Mar 06, 2026 60 Put @ $4.15
  • 🟢 BUY TO OPEN Mar 06, 2026 55 Put @ $2.32
• Trade Metrics: POP: 60.56% | Collect $183.00 per contract vs. a Max Risk of $317.00 (1.7:1).
• The Why: MP Materials is critical to the domestic EV and defense supply chain; we view the recent pullback as an attractive entry point given the long-term secular demand for rare earth elements.
• The Technicals: The stock recently experienced a pullback within a longer-term Bullish Trend (6M), now finding support near $55.64 while the 50-day moving average crossing $59.77 signals a potential resumption of the uptrend.
• Management:
  • Stop Loss: Buy back the spread at $3.66 (100% of credit received).
  • Take Profit: Buy back the spread at $0.92 (50% of max gain).

2. COST ($977.92) – Defensive Income

View Trade in OptionsPlay

• The Trade: Sell to Open the COST Feb 27, 2026 975/965 Put Vertical @ $3.80 Credit.
  • 🔴 SELL TO OPEN Feb 27, 2026 975 Put @ $19.90
  • 🟢 BUY TO OPEN Feb 27, 2026 965 Put @ $16.10
• Trade Metrics: POP: 53.88% | Collect $380.00 per contract vs. a Max Risk of $620.00 (1.6:1).
• The Why: Costco’s membership renewal rates remain best-in-class, providing a defensive floor to valuation even as consumer spending softens, making this dip an opportunity to generate income.
• The Technicals: Currently in a Bullish Trend (1M & 6M), the stock is experiencing a short-term dip testing support around $950, presenting a classic “buy the dip” setup within a strong primary trend.
• Management:
  • Stop Loss: Buy back the spread at $7.60 (100% of credit received).
  • Take Profit: Buy back the spread at $1.90 (50% of max gain).

3. NEM ($117.14) – Gold Rush Recovery

View Trade in OptionsPlay

• The Trade: Buy to Open the NEM Mar 06, 2026 116/137 Call Vertical @ $6.21 Debit.
  • 🟢 BUY TO OPEN Mar 06, 2026 116 Call @ $8.80
  • 🔴 SELL TO OPEN Mar 06, 2026 137 Call @ $2.59
• Trade Metrics: POP: 36.75% | Pay $621.00 per contract vs. a Max Reward of $1,479.00 (2.4:1).
• The Why: With gold prices showing resilience as an inflation hedge, Newmont’s operational efficiencies and dividend stability position it to outperform as it recovers from recent technical selling.
• The Technicals: The stock boasts a strong Relative Strength of 10/10 and is in a confirmed Bullish Trend (1M & 6M), recently bouncing off previous resistance-turned-support near $115.54.
• Management:⚠️ Warning: Earnings is scheduled for Feb 19, which may require active management.
  • Stop Loss: Sell the spread at $3.11 (50% loss on premium).
  • Take Profit: Sell the spread at $10.87 (75% gain on premium).