DailyPlay – Partial Closing Trade (ACN) – July 19, 2022

Partial Closing Trade

• ACN: 63.16% Loss: Buy to Close 2 Contracts July 29, 2022 $280/$270 Put Verticals @ $3.80 Debit. DailyPlay Portfolio: By closing 2 of the 3 Contracts, we will be paying $760. 

Investment Rationale

Last week we talked about potentially reducing exposure in our short ACN July 29th $280/$270 put spread, as it had lost 50%+ of its value. At the time, I said we could also wait to see where last Friday closed in order to see if the cloud’s Lagging Line was going to hold or break its cloud support level.

As we head into Tuesday’s action, the weekly cloud model has still held support where it needs to, but the option has lost time value and its price hasn’t rallied, and our expiration date is just 11 days away.

So, if you haven’t already sold half yet, do so today.

ACN – Weekly