Trade recap for Monday 8/14/23

Trade 1: $AAPL 180c

• Reasoning: key level reclaim of 178.50

• Entry on the contract: 1.22

• Exit on the contract: .89

• Profit in percent: 27%

Explanation:

AAPL was one of the favorite setups for today as we went into the new week. I wanted to see AAPL hold over 177 and get the reclaim of 178.50 to go long. This is exactly what happened in the morning session. AAPL pulled back, held above 177, and got the reclaim of 178.50 which is when I took the 180c risking 177.85. Following the entry, AAPL pulled back quickly and stopped me out resulting in a loss. Eventually, AAPL did break out and hit 20% on the position. Frustrating trade but had to keep my risk in check.

Trade 2: $AMD 112c

• Reasoning: relative strength

• Entry on the contract: 1.4

• Exit on the contract: 1.58, 1.34

• Profit in percent: 13%

Explanation:

Today, AMD and NVDA were both able to show significant relative strength following the weakness from the week prior. The key level for AMD to reclaim was 109. I missed the 109 reclaim because I wanted to see the dips getting bought above. We saw the dips getting bought above 109 and it was showing strength at the 110 level. When AMD reclaimed 110 I went long and was only able to get 13% at the highs before we saw some major sellers at 110.60. Later in the day, it was able to reclaim 110.60 and hold which triggered a move near 112 by the close.