Taking Profits (LOW) – January 19th, 2022

• LOW – 59% Gain: Short Feb 18, 2022 $250/$260 Call Vertical @ $1.69 Debit

DailyPlay Positions Outlook

After a poor start to the week, equities continue to decline after a disappointing Goldman Sachs earnings report yesterday. SPY looks set to continue its decline back to the $453 major support level while QQQ broke below its long term ascending trendline as price falls further with support only sitting at $360. Our outlook for equities remains neutral with a short-term bearish bias as rising yields and earnings uncertainty continue to pressure the major indices. We take this opportunity to close our bearish LOW trade earlier than expected after price broke below the 55 D EMA yesterday. 

Prakash Vijayanath

Analyst at OptionsPlay