DailyPlay – Portfolio Review – July 29, 2024

DailyPlay Portfolio Review

Investment Rationale

As we head into the big week of earnings and a Fed announcement, investors are asking if the strength that we saw into the close of last week will continue, or if selling start to take over again. Our view is that markets will likely stabilize, however earnings would be the wildcard that could send stocks lower, just like GOOGL and TSLA did last week. We’re looking to close out MS, PYPL and potentially AZN this week to remove some long exposure going into earnings week and Fed decision. 

Our Trades

AZN – 18 DTE

Bullish Credit Spread – Support at $76 still holds with a break above $80 as the next upside target.

GOOGL – 32 DTE

Bullish Credit Spread – Following further downside last week, GOOGL found support at $167 which is expected to be confirmed by price action over the next few days.

MS – 11 DTE

Bullish Credit Spread – Trading above $104 our short strike, look to close this trade this week. 

MSFT – 39 DTE

Bullish Credit Spread – Support at $420 is holding, as expected, with the next upside target at $445.

PYPL – 4 DTE

Bullish Credit Spread – We will look to close out PYPL in the next couple of trading sessions as it just trades above our breakeven price.