TRADE BULLETIN: Five That Require Your Attention (APPF,WING,X,KOL,FSLY)

Several trades to report today.  So please take out a well sharpened HB and lick the nib.

We’re rolling…

First up is our APPF initiative from June 8^th, all the details of which can be found HERE.

We closed out one side of the bet with a kindly $9.50 on $33.80 invested, but we’re now sitting on an open 195 CALL.

Unfortunately, with the stock at $145.80, and expiry today, there’s little chance of netting anything more.

We’re therefore confident reporting that at today’s close our return will be 28%.

And Let the Nations Roar…

Second is our WING trade, originally launched on April 29^th, and rolled out HERE.

Today, our short 130 CALL trades for $3.80.  Buy it back and sell the August 145 CALL for $4.50.  In so doing, we add an additional $0.70 to our credit, for a total of $1.05.

Our third trade was launched on February 6^th and was subsequently fixed HERE.

We gave you two options at the time – the first, to do nothing and hope for a rise, the second, to take the following proactive steps:

Buy two more lots of X at $5.29 (for a total of 300 shares, and a net debit of $19.57), and sell three X July 17th 6 CALLs for $0.89 each, for a credit of $2.67.  Should X close above $6.00 by expiry, you would pocket $1.10 on $16.90 spent, for a total return of 6.5%.

And that’s exactly what happened.  Or will happen…

X closed last eve at $8.05, and short of a complete disaster today, we’ll easily clear the $6.00 hurdle and pocket our 6.5%.

For those who opted to do nothing and hope for a rise in the shares, your breakeven remains at $8.99.  We would recommend selling the X August 14^th 8.50 CALL for $0.49.  That will provide you with an exact even-Steven exit on the trade.  No loss, no gain.

Finally, our KOL trade from November 7^th needs attention.  The details of that initiative can be found HERE.

At issue is our short 10 (post-split – 100) PUT that expires today.  With KOL at $74.63, we’re forced to roll.  Buy back the option for $2.75 and sell the August 74 strike for $2.90.

Should it expire OTM, we’ll close out the trade with $0.15 in hand.

And last of all…

If you followed our rec to set a STOP sell on your FSLY trade at $79, you’ve been sold in.  FSLY is now at $78.12, and we’re still holding a short 70 PUT with a September 18^th expiry.

Stay close.

We’ve got you covered.

Eschatologically yours,

Alan B. Harvard

Follow @HughLOHaynew