DailyPlay – Closing Trade (GOOGL) – June 22, 2023

Closing Trade

• GOOGL – 62.09% Loss: Sell to Close 5 Contracts (or 100% of your Contracts) July 21st $125/$135 Call Vertical Spreads @ $1.49 Credit. DailyPlay Portfolio: By Closing all 5 Contracts, we will receive $745. By Closing all 5 Contracts, we will receive $745. We opened this trade at $3.93 Debit, resulting in a cost of $393 per contract. The average loss per contract is therefore $244.

Investment Rationale

Chairman Powell’s testimony did spook certain sectors of the markets with tech leading the move lower by nearly 1.5%. We will maintain our short-dated hedge with QQQ going into the end of this week and see how markets digest today’s testimony. With the VIX touching a new post-COVID low, my hunch is that markets will continue to shake this off and see a slow grind higher. Despite that, our adjustment trade on GOOGL has reached its stop loss level and it’s time to cut our losses. We’re closing out the remaining open contracts on GOOGL.