TRADE BULLETIN: Wise Action Required (FSLY,EVRI)

Two trades require your attention today.

The first is our FSLY initiative of June 28^th.

The report was called The Market Peaks Fast! Faster! Fastly!, and you’ll recall that we encouraged you to –

“…short sell shares of FSLY (then trading at $86.51) and sell short one September 18th 70 PUT for $9.70.  Set a STOP buy order on the shares at $96 to ensure against a loss.”

As of yesterday afternoon, the STOP was triggered and we were bought in at 96 (the stock is now at $96.16).

That leaves us with a $0.21 credit and an open short FSLY 70 put with a September 18^th expiry.

So What Do We Do?

Our next course of action is as follows –

We’re recommending you open a STOP sell order at $79 to reinstate the short sale should FSLY drop from its current heights.  We would also urge you to set a trailing STOP BUY order (after the fill) to ensure against any cataclysmic losses.

We’ll be watching closely, of course, and will issue any real time directives as necessary – both in the lead-up and post-trade phases of the bet.

Stay tuned.

Next up was our June 3^rd directive (From One Casino to Another), in which we recommended you buy EVRI shares for $6.75 and sell the June 19th 7.50 CALL for $0.60 (one for every 100 shares purchased).  Debit was $6.15, and…

The CALL expired worthless.

So, with the shares currently at $4.72, we’re urging immediate evasive action in order to pull this one back into the black.

We’re recommending you buy another 100 shares at $4.72 and sell two (2) EVRI December 18^th 5 CALLs for $1.35 each (one for each board lot purchased).

That will reduce our cost base for the shares to $4.09.

Should they be called away at expiry, we’ll see a 22% return.

May the Holy One Blessed Be He will it.

Eschatologically yours,

Alan B. Harvard

Follow @HughLOHaynew