Trade Alert - (MU) November 15, 2024 - STOP LOSS

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 - Micron Technology, Inc. (MU) – STOP LOSS

SELL Micron Technology, Inc. (MU) December 2024 $92.50-$97.50 in-the-money vertical BULL CALL spread at $2.65

Closing Trade

11-15-2024

expiration date: December 20, 2024

Portfolio weighting: 10%

Number of Contracts = 24 contracts

Micron stock has been unbelievably volatile the last 5 days pulling back 13% after a huge surge up.

The post-election price action has been wild to say the very least.

The stock is good long term but the whipsaw on the charts means my upper strike price has been taken out and I am cutting losses here.

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

Sell to Close 24 December 2024 (MU) $92.50 calls at….……$8.80

Sell to Close 24 December 2024 (MU) 97.50 calls at………….$6.15

Net Proceeds:……………………..….….………..……....................$2.65

Loss: $4.10 - $2.65 = $1.45

(24 X 100 X $1.45) = $3,480 or 35.37%

To see how to enter this trade in your online platform, please look at the order ticket below, which I pulled off of Interactive Brokers.

If you are uncertain on how to execute an options spread, please watch my training video on “How to Execute a Vertical Bull Call Spread” by clicking here at
https://www.madhedgefundtrader.com/ltt-vbpds/

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.

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.