Trade Alert - (GOOGL) May 7, 2025

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 - Alphabet Inc. (GOOGL) – BUY

Buy Alphabet Inc. (GOOGL) June 2025 $125-$130 in-the-money vertical BULL CALL spread at $4.30

Opening Trade

5-7-2025

expiration date: June 20, 2025

Portfolio weighting: 10%

Number of Contracts = 23 contracts

Buying Alphabet or GOOGL on the dip after shares pulled back around 8% this morning. Big pullback on Apple integrating AI into their search products. Competition is heating up, and I am willing to play GOOGL here from the bullish side. An Apple executive also revealed that for the first time, searches on Safari (where Google Search is the default) declined, citing AI.

This is a good short-term trade right here.

Don’t pay more than $4.40 – prices are highly volatile in this name this morning for good reason.

Here are the specific trades you need to execute this position:

Buy to Open 23 June 2025 (GOOGL) $125 calls at……….…$25.60

Sell to short 23 June 2025 (GOOGL) $130 calls at………….$21.30

Net Cost:……………………..…….………..……............................$4.30

Potential Profit: $5 - $4.30 = $.70

(23 X 100 X $.70) = $1,610 or 16.28% in 32 days

If you are uncertain about how to execute an options spread, please watch my training video by clicking here.

The best execution can be had by placing your bid for the entire spread in the middle market and waiting for the market to come to you. The difference between the bid and the offer on these deep-in-the-money spread trades can be enormous.

Don’t execute the legs individually or you will end up losing much of your profit. Spread pricing can be very volatile on expiration months farther out.

Keep in mind that these are ballpark prices at best. After the alerts go out, prices can be all over the map.

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