DailyPlay – Closing Trade (APPL) Partial Closing Trade (CNC) – October 28, 2022

Closing Trade

• APPL -1.72% Gain: Buy to Close 1 Contract Nov. 11th $145/$157.5 Call Vertical @ $4.57 Debit. DailyPlay Portfolio: By Closing the 1 Contract, we will be paying $457. 

Partial Closing Trade

• CNC -81.05% Gain: Buy to Close 4 Contracts Nov. 18th $75/$72.50 Put Verticals @ $0.18 Debit. DailyPlay Portfolio: By Closing 4 of the 12 Contracts, we will be paying $72. 

Investment Rationale

Most big tech names continue to come under heavy pressure after earnings, with Amazon falling as much as 20% yesterday before recouping about a third of it going into this morning’s action. AAPL dropped over $5 too before recovering and is now about $1 higher than yesterday’s close. Today, we get over 1150 new earnings reports in the US, so keep a close eye on your portfolio because that means there’s a good chance that many names you own are involved.

We’ve been waiting for AAPL’s earnings to come out to cover our short Nov. 19th $145/$157.5 call spread. Now that they have, and the stock is still basically just where it was when we put this trade on, we will remove it today, as there’s no particular advantage to still holding it.

AAPL – Daily

Let’s also take off 4 of the 12 CNC short CNC Nov. 18th $75/$72.5 put spreads.

CNC – Weekly