Trade Alert - (MSTR) April 17, 2025 - EXPIRATION AT MAX PROFIT

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.

Trade Alert - (MSTR) - EXPIRATION AT MAX PROFIT

EXPIRATION of the MicroStrategy (MSTR) April 2025 $340-$350 in-the-money vertical bear put debit spread at $10.00

Closing Trade

4-17-2025

expiration date: April 17, 2025

Portfolio weighting: 10% weighting

Number of Contracts = 13 contracts

Because we have the good fortune of five positions expiring at max profit on the Thursday, April 17 option expiration day, I am going to start feeding these out now. Just to be clear, this position does not expire until 4:15 PM today.

Like all successful trades, this one looks stupidly cautious with 20:20 hindsight and (MSTR) trading at $311.65. That puts us $28.35, or 9.10% above the nearest $340 strike price.

As a result, you get to take home $1,950 or 17.67% in 5 trading 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, April 21, and the margin freed up.

Some firms charge you a modest $10 or $15 fee for performing this service.

The flight of money right now is from small, undercapitalized, and questionable to large, overcapitalized, and rock-solid balance sheets.

MicroStrategy is a highly leveraged long play on Bitcoin and at 97% implied volatility for its options.

This was a bet that MicroStrategy would not trade above $340 in 5 trading days.

Here are the specific trades you need to close out this position:

EXPIRATION of 13 April 2025 (MSTR) $350 puts at………………….…$84.00

EXPIRATION of short 13 April 2025 (MSTR) $340 puts at……………$75.50

Net Proceeds:…………………………………….…………………................……$8.50

Profit: $10.00 - $8.50 = $1.50

(13 X 100 X $1.50) = $1,950 or 17.67% in 5 trading days

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