When John identifies a strategic exit point, he will send you an alert with specific trade information as to what security to sell, when to sell it, and at what price. Most often, it will be to TAKE PROFITS, but, on rare occasions, it will be to exercise a STOP LOSS at a predetermined price to adhere to strict risk management discipline.
Tech Alert - Dell Technologies Inc. (DELL) – EXPIRATION
EXPIRATION of Dell Technologies Inc. (DELL) June 2024 $115-$125 in-the-money vertical BULL CALL spread at $10.00
Closing Trade
6-21-2024
expiration date: June 21, 2024
Portfolio weighting: 10%
Number of Contracts = 12 contracts
Today is expiration day June 21 for our bull call spread position in DELL technologies. The underlying stock (DELL) even surged to over $160 per share just the other day confirming that my strategy to go long DELL was precisely correct.
With this trade, we really nailed the ballistic gains in (DELL) shares this month.
Just to be clear, this position does not expire until after the close today.
As a result, you get to take home $1,680 or 16.28% in 16 days.
Well done and on to the next trade.
You don’t have to do anything with this expiration.
Your broker will automatically use your long position to cover your short position, canceling out the total holdings.
The entire profit will be credited to your account on Monday morning, June 24 and the margin freed up.
Some firms charge you a modest $10 or $15 fee for performing this service.
The stock is now a new AI play as it has forayed into the AI server business. They deserve a higher multiple and this explains why the stock has outperformed so greatly in the past year.
Thanks to my sage advice, you didn’t miss this opportunity to trade Dell for a nice profit in the short term.
Here are the specific trades you need to execute this position:
Expiration of 12 June 2024 (DELL) $115 calls at………….………$31.00
Expiration of 12 June 2024 (DELL) $125 calls at………….........$21.00
Net Proceeds:……………………..…….………..…….........................$10.00
Profit: $10 - $8.60 = $1.40
(12 X 100 X $1.40) = $1,680 or 16.28% in 16 days
