I have good news for you, and the week is only just getting underway …
The Nasdaq 100 closed at a new all-time high on Thursday, and then again on Friday as the index surged another 2% and busted through the 17,000 level.
This of course means that the bullish position I recommended on the ProShares Ultra Tech Sector ETF (NYSE: ROM) — which is designed to gain twice the Nasdaq 100’s daily move — leapt more than 4% on Friday alone.
Since we got into this play on November 14, shares of ROM are up more than 20% … and the value of the $48-strike call options we bought have now more than doubled.
The profit-taking “trap” we set at $8.25, for a 50% gain, has already been triggered an executed. That was for the first one-third portion of our position.
Now, in keeping with our established trade-management strategy, we’ll take profits on another one-third of our position now that it’s up more than 100%.
Here’s what I recommend you do:
Action to take: Sell to close one-thirdof your May 17, 2024, $48-strike call options on the ProShares Ultra Tech ETF (NYSE: ROM) with a limit order placed between the bid and the ask.
At last glance, this contract’s bid/ask quote was $11.50 by $12.20.
I’ll discuss this position in more detail tomorrow during our regular Weekly Update.
For now, I’ll leave you to place your orders.
Lastly, a big “congrats” to everyone who made this trade!
I’ll explain tomorrow why it wasn’t an “easy” trade to pull the trigger on, but as is often the case in trading … some of the best trades end up being the ones that feel the least comfortable as you’re initiating them.
So, again, a hearty congrats and “well done” to everyone who pulled the trigger on this one.
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