Closing Trade

• SPY – 56% loss: Sell to Close 1 Contract (or 100% of your Contracts) Nov 21 $665/$615 Put Vertical Spreads @ $4.42 Credit. DailyPlay Portfolio:  By Closing 1 Contract, we will be collecting $442. We initially opened this contract on October 15 @ $10.12 Debit. Our loss, therefore, is $570 per contract.

DailyPlay Portfolio Review

Our Trades

AZN – 25 DTE

Bullish Debit Spread – AstraZeneca PLC (AZN) – We recently opened this position, which is currently showing a slight loss, and we plan to maintain it for now. The company is set to release its earnings report on Thursday, November 6, before the market opens.

BROS – 25 DTE

Bearish Debit Spread – Dutch Bros Inc. (BROS) – This recently opened position is showing a minor gain, and we plan to hold it for now. The company is approaching its upcoming earnings report on Wednesday, November 5th, after the close.

GS – 81 DTE

Bullish Long Call – Goldman Sachs Group, Inc. (GS) – We remain bullish on the stock over the longer term and intend to hold the position. The cost basis has been reduced by selling a shorter-term call that expired worthless, and we may look to sell another call in the near future.

KR – 11 DTE

Bearish Credit Spread – The Kroger Co. (KR) – This position is currently showing a minimal loss. Bearish momentum picked up last week, but we may need to exit early this week as expiration is approaching.

META – 25 DTE

Bullish Credit Spread – Meta Platforms, Inc. (META) – This position currently has a minimal gain, which we plan to maintain for now. Meta is expected to release earnings on Wednesday, October 29th, after the close.

NEM – 32 DTE

Bullish Debit Spread – Newmont Corporation (NEM) – Newmont (NEM) beat analyst expectations for both earnings and revenue in its third-quarter 2025 report. However, the stock slipped following the announcement, most likely due to lower-than-expected gold production, combined with gold prices remaining near all-time highs but recently declining. We need bullish momentum to build early this week, or we will close the position.

SCHW – 32 DTE & 81 DTE

Bullish Diagonal Debit Spread – Charles Schwab Corp. (SCHW) – On Thursday, October 16th, Schwab reported earnings that exceeded both revenue and profit expectations. We remain bullish on the stock. After realizing gains on our initial long call, we rolled into a higher strike with a longer expiration and later sold a short-term out-of-the-money call to lower our cost basis.

SPY – 25 DTE

Bearish Debit Spread – (SPY) – We are closing the position today.

SCHW Bullish Trade Adjustment Signal

Investment Rationale

Adjustment Rationale:

Charles Schwab Corp. (SCHW) – Last Thursday, October 16th, Schwab reported earnings that exceeded both revenue and profit expectations. We remain bullish on the stock. After realizing gains on our initial long call, we rolled into a higher strike with a longer expiration, then sold a short-term out-of-the-money call to lower our cost basis.

Our next adjustment involves closing the existing short leg and selling to open another call with a lower strike and later expiration, generating a net credit. This will further reduce the cost basis of our long option position. The current position and proposed adjustment are detailed below.

Current Position:

• Long 1 SCHW Jan 16, 2026 87.5 Call
• Short 1 SCHW Oct 31, 2025 104 Call

Adjustment – Roll:

Sell to Open   1  Nov 28, 2025  100  Call   $0.97
Buy to Close   1  Oct 31, 2025  104   Call   $0.04

Resulting Position:
Long 1 SCHW Jan 16, 2026 87.5 Call
Short 1 SCHW Nov 28, 2025 100 Call 
New cost Basis and total risk of $1,272

SCHW – Daily

Trade Details

Strategy Details

Strategy: Rolling a Short Call option down and out

Direction: Resulting in a new Bullish Diagonal Spread

Details: Buy to Close 1 SCHW Oct 31 $104 Call and Sell to Open 1 SCHW Nov 28 $100 Call @ $0.93 Net Credit.

Total Risk: The resulting position has a maximum risk of $1,272 (1,365-93), calculated as the initial cost basis of the trade ($1,365) minus the premium received from the adjustment ($93).

Trend Continuation Signal: This is a bullish trade on a stock that is expected to continue higher over the duration of the trade.

1M/6M Trends: Bullish/Bullish

Relative Strength: 7/10

Stop Loss: @ $6.36 (50% loss of premium)

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Thursday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

AZN Bullish Opening Trade Signal

Investment Rationale

Investment Thesis
AstraZeneca PLC (AZN) presents a compelling bullish setup ahead of its upcoming earnings report on Thursday, November 6, before the market opens. The company’s strong growth profile, underpinned by expanding margins and accelerating revenue, continues to differentiate it within the pharmaceutical sector. With shares consolidating near recent highs following a sustained uptrend, the stock appears well-positioned for potential continuation higher into the earnings event. This setup aligns with a favorable risk/reward environment for traders seeking exposure to a large-cap growth leader in healthcare.

Technical Analysis
AZN’s technical picture remains constructive, supported by a rising 50-day and 20-day moving average that are both trending above the 200-day line. The stock has pulled back slightly from its October peak near $85, now finding support around the 20-day moving average near $82.50—an area coinciding with prior breakout levels. Notably, inside the OptionsPlay platform yesterday, a “CCI Dip In Bullish Trend” alert was generated, indicating the stock is maintaining its broader uptrend while experiencing a short-term dip that may offer an attractive entry point for bullish strategies. A break above $85 would likely trigger a renewed push toward higher highs into earnings.

Fundamental Analysis
AstraZeneca continues to demonstrate superior growth metrics compared to its industry peers, reinforcing the bullish case from a fundamental standpoint. The company’s profitability and growth trajectory remain robust, driven by a strong oncology pipeline and expanding margins across key therapeutic segments.

• Forward PE Ratio: 27.89x vs. Industry Median 14.07x
• Expected EPS Growth: 37.18% vs. Industry Median 7.52%
• Expected Revenue Growth: 35.85% vs. Industry Median 3.75%
• Net Margins: 52.41% vs. Industry Median 16.07%

Options Trade
The suggested trade is to buy the AZN November 21, 2025, 82.5/90 call vertical spread for $2.61, with a defined risk of $261 and a maximum potential reward of $489. This bullish vertical spread benefits from continued upside momentum while limiting downside exposure ahead of earnings. The trade profits if AZN closes above $85.11 by expiration, with breakeven set just above current support. Structuring the position as a debit call spread reduces the cost compared to buying calls outright, offering an efficient way to express a bullish view while maintaining favorable risk/reward characteristics.

AZN – Daily

Trade Details

Strategy Details

Strategy: Long Call Vertical Spread

Direction: Bullish Debit Spread

Details: Buy to Open 7 AZN Nov 21 $82.50/$90 Call Vertical Spreads @ $2.61 Debit per Contract.

Total Risk: This trade has a max risk of $1,827 (7 Contracts x $261) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $261 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bullish trade on a stock that is expected to continue higher over the duration of this trade.

1M/6M Trends: Bullish/Bullish

Relative Strength: 8/10

OptionsPlay Score: 106

Stop Loss: @ $1.31 (50% loss of premium)

View AZN Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Wednesday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View AZN Trade

BROS Bearish Opening Trade Signal

Investment Rationale

Investment Thesis
Dutch Bros Inc. (BROS) is setting up for a potential downside move as the company approaches its upcoming earnings report on Wednesday, November 5th. While the brand continues to expand its footprint within the specialty coffee market, the stock’s lofty valuation and slowing margin profile suggest the current rally may be short-lived. With sentiment already cautious across the restaurant sector amid elevated input costs and weaker discretionary demand, BROS appears vulnerable to a post-earnings pullback as investors reassess its premium valuation against muted profitability metrics.

Technical Analysis
BROS has recently rallied back toward the key $57.50 resistance level, an area that has consistently capped price advances since mid-summer. The stock remains positioned below both its 50-day and 200-day moving averages, reflecting sustained longer-term weakness despite the short-term recovery from oversold conditions. Notably, inside the OptionsPlay platform yesterday a “Bearish Trend Following” alert was generated, highlighting that it has recently experienced a rally within a longer term bearish trend that may provide a favorable risk/reward for a bearish trade. With relative strength still weak (2/10) and momentum beginning to stall beneath resistance, a renewed decline toward the $35 downside target appears probable if selling pressure intensifies following earnings.

Fundamental Analysis
While BROS demonstrates strong growth characteristics, its profitability and valuation metrics remain materially stretched relative to peers. The company’s forward multiple implies an excessive premium for its earnings trajectory, leaving little room for disappointment as operating costs remain elevated.

• Forward PE Ratio: 61.08x vs. Industry Median 23.51x
• Expected EPS Growth: 32.65% vs. Industry Median 8.90%
• Expected Revenue Growth: 24.16% vs. Industry Median 6.11%
• Net Margins: 3.94% vs. Industry Median 12.57%

Options Trade
A defined-risk bearish setup can be structured using a Put Vertical Spread, specifically buying the Nov 21, 2025 $57.5/$47.5 Put Vertical for approximately $3.67.. This position risks $367 to potentially earn $633, offering an attractive 1.7:1 reward-to-risk ratio if BROS trades below $47.50 by expiration. The spread benefits from both directional downside and potential post-earnings volatility compression. this trade provides a balanced way to express a bearish thesis into earnings while controlling downside exposure.

BROS – Daily

Trade Details

Strategy Details

Strategy: Long Put Vertical Spread

Direction: Bearish Debit Spread

Details: Buy to Open 5 BROS Nov 21 $57.50/$47.50 Put Vertical Spreads @ $3.67 Debit per Contract.

Total Risk: This trade has a max risk of $1,835 (5 Contracts x $367) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $367 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bearish trade on a stock that is expected to continue lower over the duration of this trade.

1M/6M Trends: Mildly Bullish/Bearish

Relative Strength: 2/10

OptionsPlay Score: 118

Stop Loss: @ $1.84 (50% loss of premium)

View BROS Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Tuesday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View BROS Trade

NEM Bullish Opening Trade Signal

Investment Rationale

Investment Thesis
Newmont Corporation (NEM) continues to show strong momentum as gold prices remain elevated and capital rotation favors precious metals over broader equities. With earnings scheduled for Thursday, October 23rd, after the close, the setup presents an appealing pre-earnings opportunity for bullish positioning. The company has exceeded both revenue and EPS expectations in each of the past three quarters, demonstrating consistent operational efficiency and strong cost management amid fluctuating commodity prices. Given this trend of outperformance and a still-attractive valuation discount versus peers, upside continuation toward the $100 range appears likely.

Technical Analysis
NEM has confirmed a breakout above the critical $90 resistance level, which has now established itself as solid support following a successful retest. The stock is consolidating just below $95, trading comfortably above its 20-day, 50-day, and 200-day moving averages — clear evidence of a well-established uptrend. The RSI near 65 reflects healthy upside momentum without signs of overbought conditions. A push through $95 could ignite the next leg higher toward $100, with the upcoming earnings report potentially serving as the trigger.

Fundamental Analysis
Despite trading at a discount to peers, Newmont’s profitability profile remains among the best in the metals and mining sector, underpinned by disciplined capital allocation and expanding margins. The company’s earnings consistency and moderate growth expectations, combined with its solid dividend yield, provide a defensive yet growth-oriented appeal.

• Forward PE Ratio: 13.79x vs. Industry Median 19.43x
• Expected EPS Growth: 20.96% vs. Industry Median 23.21%
• Expected Revenue Growth: 5.36% vs. Industry Median 6.86%
• Net Margins: 30.50% vs. Industry Median 23.60%

Options Trade
The proposed trade is a NEM Nov 28, 2025 $94/$110 Call Vertical for a debit of $5.54 ($554 total risk). This position defines risk while targeting a potential $1,046 max reward, offering an attractive risk/reward ratio of roughly 1:1.9. The $94 long strike aligns with current support, while the $110 short strike targets the upper end of the next major resistance zone. This structure captures bullish upside through earnings and into the following month, balancing directional exposure with controlled risk in case of post-earnings volatility.

NEM – Daily

Trade Details

Strategy Details

Strategy: Long Call Vertical Spread

Direction: Bullish Debit Spread

Details: Buy to Open 3 NEM Nov 28 $94/$110 Call Vertical Spreads @ $5.54 Debit per Contract.

Total Risk: This trade has a max risk of $1,662 (3 Contracts x $554) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $554 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bullish trade on a stock that is expected to continue higher over the duration of this trade.

1M/6M Trends: Bullish/Bullish

Relative Strength: 10/10

OptionsPlay Score: 102

Stop Loss: @ $2.77 (50% loss of premium)

View NEM Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Monday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View NEM Trade

DailyPlay Portfolio Review

Our Trades

GS – 88 DTE

Bullish Long Call – Goldman Sachs Group, Inc. (GS) – We maintain a longer-term bullish outlook and plan to continue holding this position. We have lowered the cost basis of the position by selling a shorter-term call that expired worthless. The company reported earnings this Tuesday, the 14th and beat expectations.

KR – 18 DTE

Bearish Credit Spread – The Kroger Co. (KR) – This position is currently showing a loss. We need bearish momentum to pick up early in the week, or we may have to exit at the stop loss.

META – 32 DTE

Bullish Credit Spread – Meta Platforms, Inc. (META) – This position currently has a minimal gain, which we plan to maintain for now. Meta is expected to release earnings on Wednesday, October 29th, after the close.

SCHW – 11 DTE & 88 DTE

Bullish Diagonal Debit Spread – Charles Schwab Corp. (SCHW) – The company reported earnings on Thursday, October 16th, before the open and beat expectations on both the top and bottom line. We continue to maintain a bullish outlook on Schwab. After realizing gains on the initial long call, we rolled into a higher strike with a later expiration. To further reduce our cost basis, we recently sold a short-term out-of-the-money call against the long position.

SPY – 32 DTE

Bearish Debit Spread – SPDR S&P 500 ETF (SPY) – This position is currently showing a small loss, and we plan to maintain it for now.

Closing Trade

• SPOT – 45% gain: Buy to Close 1 Contract (or 100% of your Contracts) Oct 31 $695/$725 Call Vertical Spreads @ $6.47 Debit. DailyPlay Portfolio:  By Closing 1 Contract, we will be paying $647. We initially opened this contract on October 14 @ $11.73 Credit. Our gain, therefore, is $526.

Closing Trade

• COST – 55% loss: Sell to Close 1 Contract (or 100% of your Contracts) Oct 24 $950/$890 Put Vertical Spreads @ $9.07 Credit. DailyPlay Portfolio:  By Closing 1 Contract, we will be collecting $907. We initially opened this contract on September 25 @ $20.22 Debit. Our loss, therefore, is $1,115 per contract.
  
• PM – 30% gain: Sell to Close 3 Contracts (or 100% of your Contracts) Oct 31 $165/$145 Put Vertical Spreads @ $8.40 Credit. DailyPlay Portfolio:  By Closing 3 Contracts, we will be collecting $2,520. We initially opened these 3 contracts on September 17 @ $6.47 Debit. Our gain, therefore, is $579.

Closing Trade

• C – 38% gain: Sell to Close 5 Contracts (or 100% of your Contracts) Oct 31 $95/$105 Call Vertical Spreads @ $5.04 Credit. DailyPlay Portfolio:  By Closing 5 Contracts, we will be collecting $2,520. We initially opened these 5 contracts on October 09 @ $3.65 Debit. Our gain, therefore, is $695.

SPY Bearish Opening Trade Signal

Investment Rationale

Investment Thesis
On Day 14 of the U.S. government shutdown, the ongoing political stalemate in Washington continues to pressure market sentiment. With Democrats and Republicans still deadlocked over funding measures, investors face heightened uncertainty at a time when global markets are already strained by escalating trade tensions. The tariff war with Chinahas intensified, as new U.S. levies on imported wood, furniture, and cabinetry take effect alongside Beijing’s export restrictions on rare earth metals and battery components. These combined fiscal and trade headwinds underscore rising risks to growth, supply chains, and corporate margins. Against this backdrop of policy gridlock and global economic fragility, short-term downside in SPY appears increasingly likely, making bearish exposure through options a timely tactical play.

Technical Analysis
SPY has broken below its short-term uptrend, with price now testing support near the 50-day moving average. The 20-day MA has rolled over, signaling a loss of momentum after an extended rally through the summer. Price action shows a firm rejection at recent highs, and the appearance of a bearish engulfing candle confirms renewed selling pressure. A decisive break below the 50-day moving average could trigger a deeper retracement toward the prior consolidation range, where more meaningful support is likely to emerge. Until SPY reclaims the 20-day moving average and resumes forming higher highs, the technical bias remains bearish.

Fundamental Analysis
Macro conditions continue to soften as the combination of trade friction, persistent inflation, and weakening corporate earnings clouds the outlook. Elevated valuations leave little room for earnings disappointment, particularly with monetary policy still tight and fiscal operations disrupted by the government shutdown. Slowing consumer activity and increased import costs pose further risks to profitability, while the IMF’s subdued economic outlook reinforces the view that global growth momentum is losing steam. Altogether, these pressures point to a fragile environment for equities and justify maintaining a defensive posture toward SPY in the near term.

Options Trade
A SPY Nov 21, 2025, 665/615 Put Vertical Spread offers a defined-risk way to capture potential near-term weakness. The trade involves buying the 665 put and selling the 615 put for a net debit of $10.12 ($1,012 total cost). The maximum profit is $3,988 if SPY closes below 615 at expiration, while the maximum loss is capped at $1,012. This setup benefits from continued weakness over the next several weeks and offers an attractive risk/reward ratio of nearly 4:1. With 38 days until expiration, the position provides sufficient time for volatility expansion while minimizing exposure to time decay.

SPY – Daily

Trade Details

Strategy Details

Strategy: Long Put Vertical Spread

Direction: Bearish Debit Spread

Details: Buy to Open 1 SPY Nov 21 $665/$615 Put Vertical Spreads @ $10.12 Debit per Contract.

Total Risk: This trade has a max risk of $1,012 (1 Contract x $1,012) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $1,012 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bearish trade on a stock that is expected to continue lower over the duration of this trade.

1M/6M Trends: Neutral/Bullish

Relative Strength: 7/10

OptionsPlay Score: 151

Stop Loss: @ $5.06 (50% loss of premium)

View SPY Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Tuesday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View SPY Trade

SPOT Bearish Opening Trade Signal

Investment Rationale

Investment Thesis
Spotify Technology S.A. (SPOT) provides audio streaming subscription services worldwide through its Premium and Ad-Supported segments. Despite its strong brand recognition and market leadership, the company’s recent performance highlights growing operational challenges. SPOT has missed EPS expectations in each of the last four quarters, with the most recent June 2025 report showing a sharp swing to a loss of –$0.48 vs. a $2.13 consensus, underscoring weakening profitability. Shares, now near $692, remain well below their $785 peak as investors question cost discipline and growth sustainability amid fierce competition from Apple Music and YouTube. While Spotify’s global scale remains an advantage, its elevated valuation and deteriorating earnings trajectory keep the risk/reward profile skewed to the downside.

Technical Analysis
From a technical perspective, SPOT’s powerful 130% advance from the November 2024 lows around $300 culminated in a failed breakout attempt near $785 in June 2025. Since then, the stock has carved out a broad consolidation pattern, with the recent rebound to $692 representing a modest corrective move rather than a sustained reversal. Price action remains constrained below the flattening 20-day and 50-day moving averages, which have converged and now serve as firm resistance around $700. Momentum indicators continue to favor the bears, and a breakdown through the $663 support level could open the path toward the 200-day moving average at $611, reinforcing the bearish technical bias.

Fundamental Analysis
Spotify’s premium valuation remains difficult to justify amid mixed growth execution and rising competitive pressures. While the company’s leadership position and user growth remain strengths, margin improvement has lagged expectations, and investors are increasingly questioning the scalability of its model. Current valuation and profitability data highlight this imbalance:

• Forward PE Ratio: 51.59x vs. Industry Median 21.29x
• Expected EPS Growth: 45.57% vs. Industry Median 13.75%
• Expected Revenue Growth: 17.59% vs. Industry Median 13.01%
• Net Margins: 4.72% vs. Industry Median 3.98%

Options Trade
To express a bearish view with defined risk, consider selling the SPOT Oct 31, 2025 695/725 Call Vertical for a net credit of $11.73. This trade profits if SPOT remains below $695 at expiration, with a maximum reward of $1,173 and maximum risk of $1,827.  The October 31, 2025 expiration was deliberately chosen to avoid exposure to the November 4 earnings report, thereby minimizing event-driven risk while maintaining exposure to a potential downside continuation into late October.

SPOT – Daily

Trade Details

Strategy Details

Strategy: Short Call Vertical Spread

Direction: Bearish Credit Spread

Details: Sell to Open 1 SPOT Oct 31 $695/$725 Call Vertical Spreads @ $11.73 Credit per Contract.

Total Risk: This trade has a max risk of $1,827 (1 Contract x $1,827) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $1,827 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bearish trade on a stock that is expected to continue lower over the duration of this trade.

1M/6M Trends: Bearish/Neutral

Relative Strength: 7/10

OptionsPlay Score: 101

Stop Loss: @ $23.46 (100% loss to value of premium)

View SPOT Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Monday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View SPOT Trade