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 - (YELP) – SELL – TAKE PROFITS
SELL Yelp Inc. (YELP) at $19.37
Closing Trade
4-21-2020
Portfolio weighting: 10% (EQUITY)
Number of Shares = 526
I know this is a little premature, but I am taking a small profit on Yelp.
I still think this is a relatively good trade to keep for the next 1-2 months but I didn’t like the stock opening down 5% and I will go to higher ground by rolling the net proceeds into a deep-in-the money call spread on Microsoft (MSFT).
Microsoft is down 3% today and it is a great entry point for a short-term sideways to bullish bet for May’s expiration.
Microsoft is unequivocally a corona tech stock whose business is booming.
Only use a limit order. DO NOT USE MARKET ORDERS UNDER ANY CIRCUMSTANCES
Here are the specific trades you need to execute this position:
Sell 526 X (YELP)………….………………...........……...…….……$19.37
Net Proceeds:………………………….………..………….….....$10,188.62
Profit = 10,188.62 - $10,004.52 = $184.10
Keep in mind that these are ballpark prices at best. After the alerts go out, prices can be all over the map.
