SEP 2020: AAPL $113.5- $118.5 Bull Call Spread
Stock
AAPL
Trade Structure
$113.5- $118.5 Call Spread
Trade Date
09/04/2020
Price Paid
$250
Expiration Days
10/16/2020
THIS IS A DELAYED TRADE FOR EDUCATIONAL PURPOSES ONLY.
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Trade Rationale
With AAPL, they had a 4:1 split which was coming up so I didn't put on my regular post-earnings trade on it. When a split happens, it changes the personality and trading behavior of a stock, so I had to wait a little to get into AAPL. To add to this AAPL and TSLA both shot up to the moon so much pre-split, that a pullback was almost guaranteed in these cases.
Trade Selection Criteria
Overall market movement
This is a post-earnings trade. My usual mean reversion parameters don’t apply here. These trades are based on Support/Resistance only
No Earnings or Significant News
Earnings and the 4:1 Split in AAPL is behind us.
Bollinger Bands outside Keltner Channels
This is a post earnings trade – our regular mean reversion indicators don’t apply here.
RSI Analysis
This is a post earnings trade – our regular mean reversion indicators don’t apply here.
ADX Analysis
This is a post earnings trade – our regular mean reversion indicators don’t apply here.
Trade Analysis
Analysis will be updated when I close the trade.
Trade Outcome
PENDING
Profit/Loss
$0
Beginning Account Balance
$6,725
Ending Account Balance
$PENDING
