8/21/2022 Plan:
This week we look at Apple (Ticker: AAPL)
8/21/2022 Plan (continued):
- AAPL – Sell the Sept 9 180/185 call spread for 0.62
- Prices are as of market close 8/19/2022, actual fill and strikes may differ depending on Monday’s open, post will be updated accordingly.
- All trades are for educational purposes and do not constitute advice
8/21/2022 Commentary:
Apple is a maker of … oh you know what Apple does. If not, seriously, reach out – how is that possible? This week bets against the biggest company in the S&P 500. Not something I would normally do and I am actually long some shares, but wanted to offer this trade idea as a way to fade the overall market.
We have had a huge run up since mid June in the overall market. Apple has gone from a low of near 129 to a recent high over 176 just this past week. Apple hasn’t gone above 180 since the very beginning of the year and this trade assumes that continues for the next few weeks. If the market does continue to take off, our other positions will do fine, so this offers a bit of balance and some negative deltas in an uncertain market.
Feel free to Reach out with questions on this or anything else!
8/22/2022 Entry:
Sold Sept 16 180/185 call spreads in AAPL for 0.53. Better prices may be available later in the day if the market rebounds.
8/27/2022 Update:
The AAPL call spreads are now worth only 0.17 for a nice $36 profit in just one week. There are still 3 weeks left in this trade, so closing for a quick win is definitely an option. I will likely leave them on through at least this week and if there is a chance to take them off cheaply I may.
9/2/2022 Close:
I closed the AAPL call spreads for 0.02, bringing in a $51 profit per call spread sold. If you did not take them off, they expire in another two weeks. I would just close them for 0.01 or 0.02 and move on given how much time is left.
